9911796707
TMI Blog2000 (5) TMI 44X X X X Extracts X X X X X X X X Extracts X X X X ..... irector as well as the Manager of the Company admitted mis-declaration and under-valuation of the goods and evasion of excise duty under the Act and undertook to pay the amount. It further appears that the Company paid the amount of Rs. 1.53 crores. Thereafter a show cause notice dated 12-11-1996 was served upon the petitioner calling upon as to why the petitioner and its Director may not be penalized for evasion of the excise duty under various provisions of the Central Excise Act and the Rules. The petitioner and its Director made reply to the show cause. The Adjudicating authority on consideration of the submissions made on behalf of the petitioner and its Director imposed penalty of Rs. 20 lacs on the petitioner and Rs. 2,50,000/- upon ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... th. 4.Sri A.P. Mathur, learned Counsel for the petitioner has submitted that the petitioner had agreed and had actually deposited the amount of evaded excise duty on understanding given by the respondents that show cause notice shall not be issued to them invoking penal provisions of the Act and the Rules framed thereunder and that the Company was under great financial constraints and financial hardship on account of which it was not in a position to deposit the amount of penalty. 5.Learned Standing Counsel appearing for the respondents however, submits that the material on record does not show that any such understanding was given by the respondents or by their representatives and that the financial hardship has been considered by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ficate has been surrendered. The averments regarding financial condition in paragraph 6 of the stay petitions is vague. No details about financial condition are provided in the stay petitions or even in the balance sheet as read out by Shri Chattopadhyaya. We are not told as to what exactly are the movable and immovable properties belonging to the Company and the outstandings. In these circumstances, we are not in a position to agree that the appellants are not in a position to pay a substantial part of the amount of penalties imposed." 7.The above discussions by the Tribunal vide order dated 12-5-1998 clearly indicate that a question of financial hardship was considered by the Tribunal and proper finding was arrived at. The application ..... X X X X Extracts X X X X X X X X Extracts X X X X
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