https://www.taxtmi.com/caselaws?id=115502 The Appellate Tribunal CESTAT, CHENNAI allowed the appeals, concluding that penalties under Section 11AC and Rule 25 of the Central Excise Act and Rules should not be imposed on the appellants as they did not willfully remove cotton yarn to evade duty payment. The Tribunal found that the removal of cotton yarn was forcibly done by another party to secure repayment of a debt, and not for evasion purposes. Therefore, the penalties were deemed inapplicable, and the Managing Director of the Company was not liable for penalties under Rule 26 of the Central Excise Rules, 2002. en-us Tue, 05 Jul 2005 00:00:00 +0530 Wed, 30 May 2012 14:18:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=115502 The Appellate Tribunal CESTAT, CHENNAI allowed the appeals, concluding that penalties under Section 11AC and Rule 25 of the Central Excise Act and Rules should not be imposed on the appellants as they did not willfully remove cotton yarn to evade duty payment. The Tribunal found that the removal of cotton yarn was forcibly done by another party to secure repayment of a debt, and not for evasion purposes. Therefore, the penalties were deemed inapplicable, and the Managing Director of the Company was not liable for penalties under Rule 26 of the Central Excise Rules, 2002. Case-Laws Central Excise Tue, 05 Jul 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=115502