True and full disclosure is mandatory for excise settlement admission; absence of material disclosure defeats the application.

Admission to settlement under the excise settlement scheme requires a true and full disclosure of the applicant's own involvement and all material facts. Here, the records and the applicant's statement indicated unaccounted removals under his supervision and knowledge of the sales and cash collection process, yet the application contained no material disclosure of the alleged activities and the statement was not retracted. The statutory requirement for admission was therefore not met, and the settlement application was not admissible under Section 32F(1) of the Central Excise Act, 1944.

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Issues: Whether the applicant's settlement application was maintainable and admissible in the absence of true and full disclosure of the activities alleged against him.

Analysis: The application was examined in the context of the requirement of disclosure under the settlement scheme. The records and the applicant's own statement indicated that unaccounted removals had taken place under his supervision and that the procedure for sales and cash collection was within his knowledge. As the applicant did not retract his statement and the application contained no material disclosure of the activities in which he was alleged to have been involved, the mandatory requirement for admission was not satisfied.

Conclusion: The application was not admissible and could not be proceeded with under Section 32F(1) of the Central Excise Act, 1944.

Final Conclusion: The settlement request failed at the threshold for want of the disclosure required by the statutory scheme, leaving the applicant to pursue any fresh application in the manner permitted by law.

Ratio Decidendi: Admission to settlement under the excise settlement provisions depends on a true and full disclosure of the applicant's own involvement and the material facts; in its absence, the application is liable to be rejected at the threshold.

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