2008 (5) TMI 521

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..... der]. After examining the records and hearing both sides, I note that the prayer in this appeal of the Revenue is to set aside the impugned order as regards penalty under Section 11AC and interest on duty under Section 11AB of the Central Excise Act. The duty amount, which was paid in September, 2002 pertained to clearances made in December, 1999. The department issued show-cause notice on 1 .....

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..... ner (Appeals) justified imposition of penalty on the party under Section 11AC. However, the relief portion of this appeal seems to have been correctly drafted. The learned counsel for the respondents submits that the extended period of limitation was not invocable in this case inasmuch as all the relevant facts relating to the clearance of goods, made in December, 1999, were within the knowledge o .....

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..... bent on the department to establish that they had suppressed material facts before the department with intent to evade payment of duty. The party paid the duty on 19-9-2002, which the department accepted. It, therefore, cannot be gainsaid that the department had knowledge of the material facts at least on that date. It took them more than two years to issue the show-cause notice. The case of the r .....

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