2007 (11) TMI 30 - HC - Service Tax

Tribunal s order of reducing penalty is based on consideration of facts on record HC cannot interfere with the exercise of discretion, if Tribunal has decided the matter as per statutory provisions Not shown by Dept. that power has been exercised arbitrarily by Tribunal No question of law arise

Summary

The Bombay High Court upheld the decision of the CESTAT to reduce the penalty amount under the Finance Act. The Court found that the authority has the power to reduce the penalty under sections 76, 77, and 80 of the Act. As long as the power is not exercised arbitrarily, the Court cannot interfere with the discretion. The tribunal reduced the penalty amount based on the record, leading to the dismissal of the appeal.