TaxTMI 
TaxTMI 
CESTAT, Larger Bench's decision in the case of Commissioner of Central Excise, Delhi IV v. ILPEA Paramount Pvt. Ltd. [2007 (213) E.L.T. 500 (Tri.-LB)]
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....ject : CESTAT, Larger Bench's decision in the case of Commissioner of Central Excise, Delhi IV v. ILPEA Paramount Pvt. Ltd. [2007 (213) E.L.T. 500 (Tri.-LB)] The question of levy of equal penalty mandated in the provisions of Section 11AC of the Central Excise Act, 1944 and Section 114A of the Customs Act, 1962 in a situation when warranted has been engaging attention of the Board for quite some ....
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....ty that could be levied, giving a discretion to impose any lesser amount (except in situations as specifically provided for by amended Section 11AC). There have been a catena of decisions of various judicial for as wherein it has been hitherto held that penalty imposable under Section 11AC indicated the maximum amount imposable and that the adjudicating/appellate authorities were vested with the ....
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...."condition precedent for levy of penalty is statutory laid down and in the said situations, making a provision for minimum penalty cannot be held to be arbitrary in any manner." (Para 20) In the remand proceedings, the Tribunal not only restored the original order imposing the penalty equal to the amount of duty confirmed. It further held that prior to amendment (dated 12-5-2000) Section 11AC lef....
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....Section 11AC. On the same facts and in the same case, there would be no warrant for ignoring the findings reached for the purpose of invoking the extended period of limitation, while deciding the question of penalty under Section 11AC............." Para 15 "Once it is held that imposition of penalty under Section 11AC Act is warranted, the wordings of Section 11AC do not leave any option for impo....