https://www.taxtmi.com/caselaws?id=40616 A processor that relied on declarations in challans supplied by weaving mills remained liable for confiscation-linked redemption fine and short-paid duty because it could not verify the actual fabric composition and contractual reimbursement did not alter the excise liability. Penalty under Rule 173Q, however, required evidence of collusion or mens rea; where the record showed only adoption of the supplier's description and no independent gain, the punitive component could not be sustained and was remitted in full. The revised position therefore left the duty demand and redemption fine undisturbed while deleting the penalty. en-us Wed, 07 Mar 1979 00:00:00 +0530 Wed, 12 May 2010 10:16:22 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=40616 A processor that relied on declarations in challans supplied by weaving mills remained liable for confiscation-linked redemption fine and short-paid duty because it could not verify the actual fabric composition and contractual reimbursement did not alter the excise liability. Penalty under Rule 173Q, however, required evidence of collusion or mens rea; where the record showed only adoption of the supplier's description and no independent gain, the punitive component could not be sustained and was remitted in full. The revised position therefore left the duty demand and redemption fine undisturbed while deleting the penalty. Case-Laws Central Excise Wed, 07 Mar 1979 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=40616