2002 (4) TMI 299 - Commission - Central Excise

Summary

Issues:
1. Duty evasion by M/s. Transtamp India Pvt. Ltd.
2. Application under Section 32E of Central Excise Act, 1944.
3. Acceptance of duty liability by M/s. Transtamp India Pvt. Ltd.
4. Immunity sought by M/s. Transtamp India Pvt. Ltd.
5. Commission's decision on penalty, prosecution, and immunity.

The case involved M/s. Transtamp India Pvt. Ltd., registered under the Central Excise Act, 1944, for manufacturing CRGO electrical stampings and laminations. An investigation revealed evasion of duty by removing CRGO sheets without payment and availing Modvat credit. The company admitted to the evasion and applied to the Settlement Commission, Mumbai, accepting a duty liability of Rs. 7,65,605.82. The Commission allowed the application to proceed and adjusted the debited amount against the admitted duty. Subsequently, during hearings, the company agreed to a revised duty liability of Rs. 7,85,732 as calculated by the Revenue.

During the proceedings, M/s. Transtamp India Pvt. Ltd. sought immunity from prosecution, penalty, interest, and confiscation. The Commission considered the case records and submissions. It noted the cooperation of the company and its full disclosure of duty liability. Consequently, the Commission granted immunity from penalty, fine, interest, and prosecution under the Central Excise Act and its rules. The settlement would be void if obtained through fraud or misrepresentation.

In conclusion, the Settlement Commission approved the settlement, acknowledging the duty liability acceptance by M/s. Transtamp India Pvt. Ltd. and granting immunity from penalties and prosecution due to the company's cooperation and truthful disclosure during the proceedings.