VOLTAS LTD. Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) THE appellant is in appeal against the impugned order and deciding the imposition of penalty.

(2.) In this case, the contention of the appellant is that they have paid the amount of duty in dispute along with interest before the issuance of the show cause notice. In these circumstances, the Adjudicating Authority was required to levy the penalty to the extent of 25% of the duty confirmed. But instead of levying the penalty 25% of duty confirmed, the Adjudicating Authority as well as the first appellate authority levy the penalty to the extent of 100%. Therefore, the impugned order is required to be set aside to that extent. On the other hand, when the ld. AR was asked to comment on the issue he said the Tribunal may take its own view on the subject.

(3.) SECTION 11AC of the Central Excise Act, 1944 deals with the situation which is reproduced as under: -