9911796707
TMI Blog2010 (6) TMI 370X X X X Extracts X X X X X X X X Extracts X X X X ..... by the appellant is that, as the offence was committed by the party during the year 1996-97, Section 11AC is applicable - provision mandates that, where the statutory requirements of such a penalty are established, it should be imposed to an extent equal to the amount of duty - no case for imposing a penalty under Section 11AC on the respondent has been made out by the Revenue - no prayer in this appeal of the Revenue for imposing a penalty on the respondent under Rule 173Q – Appeal rejected - E/1297/2003 - A/195-196/2010-WZB/C-II/EB - Dated:- 22-6-2010 - S/Shri P.G. Chacko, Member (J) and S.K. Gaule, Member (T) REPRESENTED BY : Shri S.M. Vaidya, JDR, for the Appellant. [Order per : P.G. Chacko, Member (J)]. - In thi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... how-cause notice was issued on 6-7-1998 beyond the normal period of limitation. It has invoked the larger period of limitation on the ground of suppression of production and sale of the excisable goods by the respondent with intent to evade payment of duty. On the same grounds, the notice invoked Section 11AC of the Central Excise Act for a penalty on the respondent. The notice also invoked Rule 173Q on the ground of contravention of Rules alleged against the party. The original authority, apart from demanding duty of Rs. 55,180/- from the assessee, imposed equal amount of penalty on them under Section 11AC. The appellate authority affirmed the demand of duty but set aside the penalty after noting that Section 11 AC was not applicable to an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be allowed. 4. We have also considered the cross-objections filed by the respondent. Both the lower authorities have concurrently found that the assessee committed breach of various provisions of the Central Excise Act and the Central Excise Rules by clearing excisable goods in excess of the limit, prescribed in the relevant SSI notifications without caring to get registered with the department or following the mandatory Central Excise procedure. In the present context, it is pertinent to note that the respondent had no intention to pay duty on the goods and hence did not follow the Central Excise procedure including filing of MODVAT declaration. In this scenario, the belated prayer for MODVAT credit cannot be allowed. 5.In the re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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