2003 (6) TMI 371

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.... Shri M.K. Gupta, Jt. CDR, for the Respondent. [Order per : S.S. Sekhon, Member (T)]. -  The appellants were discharging their duty liability under Section 3A of the Central Excise Act, 1944 for the period 16-12-1998 to 28-2-2001 w.e.f. 1-3-2001 they reverted to paying duty on value, determined on levy under Section 3; since levy of duty under Section 3A, was no longer applicable to a m....

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.... Rule 173Q of the Central Excise Rules (now Rule 25 of Central Excise Rules 2001). The Commissioner after hearing the case confirmed the duty demand, allowed the deemed credit availed observed - "As regards imposition of penalty I find that the notice has been grossly negligent in clearing goods without payment of duty by wrongly considering them to be stock manufactured during the period when ....

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....that no penalty need be imposed on negligence on their part and the fact that duty and interest were paid before the issue of show cause notice. Revenue on the other hand relied on Elephanta Gases Ltd. - 2003 (155) E.L.T. 42 (T) = 2003 (55) RLT 957 (CEGAT) and Zunjarrao Bhikaji Nagarkar - 1999 (112) E.L.T. 772 (S.C.) = 1999 (34) RLT 125 to submit that the penalty is required to be imposed in this ....