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TMI Blog2015 (12) TMI 1306X X X X Extracts X X X X X X X X Extracts X X X X ..... ine, the appellant is before this Tribunal. 2. Briefly the facts of the case are that the appellant is a manufacturer of MS TMT bars falling under Chapter 72 of the First Schedule of the Central Excise Tariff Act, 1985. A show cause notice was issued to the appellant calling upon to show cause as to why central excise duty of Rs. 28,152/- should not be demanded under Section 11A(1) of the Central Excise Act and an amount of Rs. 4,594/- should not be demanded on finished goods found short in stock and also 10.09 MT of MS TMT bars and the truck should not be confiscated under the provisions of Rule 25 and penalty should not be imposed under Section 11AC read with Rule 25 of the Central Excise Rules, 2002. 2.1 The appellant deposited the ent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s, then all proceedings against the appellant get concluded. 4. On the other hand, the learned AR tried to defend the decision of the adjudicating authority and submitted that the redemption fine imposed on the appellant is under Rule 25 of the Central Excise Rules and the same can be legally imposed on the appellant and the same is not covered by Section 11A(1A) and 11A(2) of the Act. In support of his contention, he cited the following case laws:- (i) KG Lingan vs. Jt. CTO reported in AIR 1968 Mad 76; (ii) CIT vs. Frontline Software and Services reported in (2007) 210 CT MP 407; (iii) Conortium of Self Financing vs. The Director of Technical Education (WP No. 20212 & 20213 of 2007); (iv) CCE, Raipur vs. Anand Agarwal reported in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rt-paid or erroneously refunded by reason of fraud, collusion or any wilful mis-statement or suppression of facts, or contravention of any of the provisions of Act or of the rules made there under with intent to evade payment of duty, by such person or his agent, the provisions of this sub-section shall have effect, as if, for the words [one year], the words "five years" were substituted: (1A) When any duty of excise has not been levied or paid or has been short-levied or short paid or erroneously refunded, by reason of fraud, collusion or any wilful mis-statement or suppression of facts, or contravention of any of the provisions of this Act or the rules made there under with intent to evade payment of duty, by such person or his ag ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... covered under this provision only. It is also submitted that for imposition of fine and penalty, notice is also issued under Section 11A(1) alone. On going through the above provision, I am of the considered opinion that once the appellant has deposited the entire duty along with 25% of the penalty amount within 30 days of the issuance of show cause notice, the entire proceedings against the appellant stand concluded. In this case there is no dispute with regard to deposit of duty and penalty within the stipulated period. In this view of the matter, the redemption fine imposed on the appellant is totally unwarranted and in contravention of the provisions as contained in Section 11A(2). Therefore, I set aside the redemption fine and allow th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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