https://www.taxtmi.com/caselaws?id=120779 The High Court clarified that Section 11AC mandates a penalty equal to the duty amount in cases of fraud, collusion, or contravention of the law. The Court emphasized the statutory requirement for a minimum penalty once mens rea is established. The Tribunal upheld duty demand but reduced the penalty to Rs. 10,000 instead of the duty amount of Rs. 73,042, leading to a challenge by the Revenue. The Court highlighted the need for careful consideration in penalty imposition beyond a mechanical application equal to the duty determined, prompting a Larger Bench hearing due to the complexity of the issue. en-us Wed, 17 Jan 2007 00:00:00 +0530 Tue, 24 Jul 2012 12:52:57 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=120779 The High Court clarified that Section 11AC mandates a penalty equal to the duty amount in cases of fraud, collusion, or contravention of the law. The Court emphasized the statutory requirement for a minimum penalty once mens rea is established. The Tribunal upheld duty demand but reduced the penalty to Rs. 10,000 instead of the duty amount of Rs. 73,042, leading to a challenge by the Revenue. The Court highlighted the need for careful consideration in penalty imposition beyond a mechanical application equal to the duty determined, prompting a Larger Bench hearing due to the complexity of the issue. Case-Laws Central Excise Wed, 17 Jan 2007 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=120779