Waiver of penalty cannot be reopened after acceptance of liability, instalment requests, and acquiescence to final settlement.

After accepting the outstanding liability and seeking instalments, the petitioners did not contemporaneously pursue waiver of penalty. The later attempt to revive waiver was treated as inconsistent with their prior conduct, especially after payment had been made and the dispute had been treated as closed. On that basis, the claim for waiver could not be reopened, and the petitioners remained bound by their earlier acquiescence; the writ petition was dismissed.

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Issues: Whether the petitioners could seek waiver of penalty after having accepted the liability, requested payment by instalments, and allowed the matter to attain finality.

Analysis: The petitioners had earlier sought instalments for the outstanding dues after the communications exchanged with the departmental authority, and the record showed no contemporaneous pursuit of waiver of penalty at that stage. The subsequent attempt to revive the claim for waiver was viewed as inconsistent with the earlier conduct and acceptance of the liability, particularly after payment had already been made and the dispute had been treated as closed.

Conclusion: The claim for waiver of penalty could not be reopened, and the petitioners were held bound by their earlier acquiescence.

Final Conclusion: The writ petition failed and was dismissed.

Ratio Decidendi: A party that has accepted the liability and acted upon it without pressing waiver cannot later reopen the settled issue and seek waiver after acquiescence and payment.

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