2006 (3) TMI 372 - AT - Central Excise

Summary

Issues involved: Application for waiver of pre-deposit of personal penalty under Rule 26 of CENVAT Excise Rules.

Summary:
The applicant, working as Deputy Manager (Operational) with M/s. Bharat Petroleum Corporation Limited, filed an application for waiver of pre-deposit of a personal penalty of Rs. 5,000. The penalty was imposed under Rule 26 of CENVAT Excise Rules while confirming a demand on the company. The impugned order did not find any commission or omission by the appellant to evade duty payment. Consequently, the tribunal waived the pre-deposit of the duty and allowed the Stay petition. The appeal solely challenged the imposition of the Rs. 5,000 penalty. The adjudicating authority had noted that the appellant was an employee of the company and that policy decisions were made by the company's management. Since the appellant, as Deputy Manager (Operational), was not involved in policy decisions, the tribunal found the penalty imposition unsustainable and set it aside, thereby allowing the appeal.