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TMI Blog2016 (2) TMI 328X X X X Extracts X X X X X X X X Extracts X X X X ..... ds without payment of duty clandestinely. In these circumstances, the allegation of suppressions under section 11AC of the Central Excise Act, 1944 stand proved. Thus as per the proviso to section 11 AC of the Act, penalty is to be paid 25% if the assessee pays the duty along with interest within 30 days of the adjudication. Admittedly, in this case, the appellant has paid the duty before adjudication and moreover within the same month of investigation and no interest was payable by the appellant. In these circumstances, as per the proviso of Section 11AC of the Act, penalty is reduced to 25% of duty in question. Therefore, appellant is directed to pay 25% of duty as penalty within 30 days of communication of this order failing which the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ity but contesting the imposition of interest and penalty imposed on them. He submits that on oral statement of authorized signatory on shortages found during the course of investigation, penalty cannot be imposed as held by this Tribunal in the case of [Sri Jaibalaji Ispat Pvt Ltd. 2014 (310) ELT 556 (Tri-Delhi) and Ambica Polytubes [2013 (290) ELT 317 (Tri-Delhi)]. Therefore, he prays that penalty imposed on the appellant be set aside. He also submits that as they have paid duty within a month of investigation, therefore, no interest is payable by them. 4. On the other hand, learned AR opposed the contention of the learned Counsel and submits that in this case, investigation was done, stock taking was carried out wherein shortages were ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s case as charges of clandestine removal stand proved. Thus, in this case, the penalty under section 11 AC of the Act is imposable on the appellant. Further I find that as per the proviso to section 11 AC of the Act, penalty is to be paid 25% if the assessee pays the duty along with interest within 30 days of the adjudication. Admittedly, in this case, the appellant has paid the duty before adjudication and moreover within the same month of investigation and no interest was payable by the appellant. In these circumstances, as per the proviso of Section 11AC of the Act, penalty is reduced to 25% of duty in question. Therefore, appellant is directed to pay 25% of duty as penalty within 30 days of communication of this order failing which the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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