9911796707
TMI Blog2011 (6) TMI 637X X X X Extracts X X X X X X X X Extracts X X X X ..... any illegal activity. - Revenue loss that arose to the department was incidental and not intentional, redemption fines are imposed taking into account the profit that was likely to earn due to the activity which results in the confiscation of the goods. By taking repossession, the respondents were not earning any profit and were only trying to recover the money given on loan to lessee - a penalty of Rs.50,000/- imposed by the Commissioner (Appeals) not to be interfered. - revenue's appeal dismissed - E/411/04 - - - Dated:- 14-6-2011 - SHRI ASHOK JINDAL, SHRI MATHEW JOHN, JJ. Appearance: Shri S.S. Katiyar SDR for Appellant Per: Mathew John When the case was called, nobody was present for the respondents. The Revenue, the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... confiscation of the machinery with an option to redeem the machinery on payment of a fine of Rs.10 lakhs and imposition of penalty of Rs.5 lakhs on the respondents and Rs.10,000/- on Shri Anil Kishor Jain, MD of the respondent company. Aggrieved by the order, the respondents filed an appeal before the Commissioner (Appeals). The Commissioner (Appeals) was of the view that the quantum of fine and penalty demanded from the respondents is extremely harsh, excessive and unreasonable. He reduced the redemption fine to Rs.4,44,000/- and penalty to Rs.50,000/- 3. Aggrieved by the order of the Commissioner (Appeals), Revenue has filed this appeal. The case made out in the appeal filed by the Revenue is that the Commissioner (Appeals) should hav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t they had no intention to cause any loss of revenue to the Government and, therefore, a lenient approach should be taken in the matter and they should be spared from excessive fine and penalty. They are not contesting the duty demand and interest thereon. 7. Normally, redemption fines are imposed taking into account the profit that was likely to earn due to the activity which results in the confiscation of the goods. By taking repossession, the respondents were not earning any profit and were only trying to recover the money given on loan to lessee. In the matter of penalty also, guilty intention is to be taken into account for deciding the quantum of penalty. No guilty intention has come out in this case. 8. In the circumstances, we f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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