2003 (12) TMI 482

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....pondent. [Order]. - None appeared for the respondents. Shri S.S. Bhagat, learned SDR appearing for the department states that the department's appeal is against the impugned order passed by the lower appellate authority reducing the mandatory penalty of Rs. 4,07,254/- imposed by the adjudicating authority. He states that the reason for imposition of penalty was delay in payment of duty of Rs....

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.... is mandatory. However, Rule 96ZQ(5) merely states that if an independent processor fails to pay the amount of duty or any part thereof by specified date he shall be liable to pay the outstanding amount of duty along with interest at the rate of 36% per annum and a penalty equal to the amount of duty of Rs. 5,000/-, whichever is greater. The Rule does not say that the penalty shall be equal to the....