https://www.taxtmi.com/caselaws?id=51157 Penalty under Section 11AC of the Central Excise Act requires positive evidence of suppression of facts and intent to evade duty; mere irregularity in treatment of scrap generated at a job worker's premises is insufficient. The material recorded that duty on the scrap had been paid in accordance with the departmental formula and regularly over a long period, while the notice was not wholly categorical and was not directed exclusively against the manufacturer. As mens rea was not established on the record, the penalty was held not sustainable and was set aside. en-us Mon, 18 Feb 2002 00:00:00 +0530 Thu, 23 Sep 2010 11:01:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=51157 Penalty under Section 11AC of the Central Excise Act requires positive evidence of suppression of facts and intent to evade duty; mere irregularity in treatment of scrap generated at a job worker's premises is insufficient. The material recorded that duty on the scrap had been paid in accordance with the departmental formula and regularly over a long period, while the notice was not wholly categorical and was not directed exclusively against the manufacturer. As mens rea was not established on the record, the penalty was held not sustainable and was set aside. Case-Laws Central Excise Mon, 18 Feb 2002 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=51157