https://www.taxtmi.com/caselaws?id=782910 The CESTAT set aside penalties imposed on the co-noticee appellants under Rule 26 of the Central Excise Rules, 2002, consequent upon the earlier annulment of duty demand and penalty against the main noticee. The Tribunal held that, as a settled legal principle, once the primary demand of duty and corresponding penalty on the main noticee are quashed, derivative penal liability on co-noticees cannot independently survive. Finding no legal basis to sustain the impugned order against the appellants, the CESTAT allowed the appeals and deleted the penalties. en-us Thu, 04 Dec 2025 00:00:00 +0530 Sat, 06 Dec 2025 08:46:08 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782910 The CESTAT set aside penalties imposed on the co-noticee appellants under Rule 26 of the Central Excise Rules, 2002, consequent upon the earlier annulment of duty demand and penalty against the main noticee. The Tribunal held that, as a settled legal principle, once the primary demand of duty and corresponding penalty on the main noticee are quashed, derivative penal liability on co-noticees cannot independently survive. Finding no legal basis to sustain the impugned order against the appellants, the CESTAT allowed the appeals and deleted the penalties. Case-Laws Central Excise Thu, 04 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782910