https://www.taxtmi.com/caselaws?id=155375 Under the compounded levy scheme, Rule 96ZO(3) required monthly duty instalments to be paid by the prescribed dates, and default triggered mandatory interest and a penalty equal to the outstanding duty. An unresolved challenge to the furnace-capacity order did not displace the operative duty liability, and the assessee had not paid even the reduced amount claimed for the relevant months. Later payment did not erase the statutory consequence of default. On that basis, the reduction of penalty was not justified, and the penalty remained payable on the outstanding duty as prescribed by the rule. en-us Tue, 27 Apr 2010 00:00:00 +0530 Tue, 03 Sep 2013 17:55:18 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=155375 Under the compounded levy scheme, Rule 96ZO(3) required monthly duty instalments to be paid by the prescribed dates, and default triggered mandatory interest and a penalty equal to the outstanding duty. An unresolved challenge to the furnace-capacity order did not displace the operative duty liability, and the assessee had not paid even the reduced amount claimed for the relevant months. Later payment did not erase the statutory consequence of default. On that basis, the reduction of penalty was not justified, and the penalty remained payable on the outstanding duty as prescribed by the rule. Case-Laws Central Excise Tue, 27 Apr 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=155375