TMI Blog2023 (7) TMI 255X X X X Extracts X X X X X X X X Extracts X X X X ..... o the statement given under Section 14 of the Central Excise Act, 1994 by the present appellants have come on record. Therefore, both the present appellants have direct involvement in passing of fraudulent Cenvat credit to M/s Nakoda Alloys Pvt. Ltd. The penalty was imposed under Rule 26(2) of Central Excise Rules, 2002 which has come into force with effect from 01.04.2007. Therefore, for all the transactions made prior to 01.04.2007 the Penal Provision Rule 26(2) cannot be applied retrospectively. Therefore, in respect of the transactions only made after 01.04.2007 the penalty under Rule 26(2) of Central Excise Rules, 2002 shall be applicable. In this case no penalty can be imposed under Rule 26(2) of Central Excise Rules, 2002. As r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 127(6) of Chapter V of Finance (No. 2) Act, 2019. 2.1 He further submits that the penalty was imposed under Rule 26(2) of Central Excise Rules, 2002 whereas this Rule came into force only from 01-04-2007. Therefore, for the transaction pertains to the period prior to 01.04.2007 no penalty can be imposed. He placed reliance on the following judgments: Commissioner of C. Ex. Chandigarh Vs. Anshul Steel Scrap Corpn. 2011(264) E.L.T. 535 (Tri.- Del.) Dhakad Metal Corporation Vs. Commissioner of C. Ex. S.T. Daman 2015(330) E.L.T. 561 (Tri.- Ahmd.) Duggar fiber Pvt. Ltd. Vs. Commissioner of C. Ex. S.T., Delhi 2015(322) E. L.T. 763 (Tri. Del.) Commissioner of Central Excise, Chandigarh-I Vs. Mini Steel Traderds 2014 (30 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... xcise Act, 1994 by the present appellants have come on record. Therefore, I am of the view that both the present appellants have direct involvement in passing of fraudulent Cenvat credit to M/s Nakoda Alloys Pvt. Ltd. 4.3 Having observed as above I also found that penalty was imposed under Rule 26(2) of Central Excise Rules, 2002 which has come into force with effect from 01.04.2007. Therefore, in my considered view for all the transactions made prior to 01.04.2007 the Penal Provision Rule 26(2) cannot be applied retrospectively. Therefore, in respect of the transactions only made after 01.04.2007 the penalty under Rule 26(2) of Central Excise Rules, 2002 shall be applicable. This issue has been considered in the judgments cited by Learn ..... X X X X Extracts X X X X X X X X Extracts X X X X
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