2011 (9) TMI 877

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...., for the Respondent. ORDER This application filed by the appellant seeks waiver of pre-deposit and stay of recovery in respect of penalty of Rs. 50,000/- imposed on them by the lower appellate authority under Rule 25 of Central Excise Rules, 2002. The appellant had defaulted payment of duty for the months of October to December 2009. On account of this default committed by them consecutivel....

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....cularized under Section 11AC should be established before imposing any penalty under Rule 25. This plea is unacceptable inasmuch as Rule 25 is an independent penal provision which specifies the factual situations leading to penalty and also prescribes even the quantum of penalty. The expression "subject to the provisions of Section 11AC of the Act" figuring in the opening part of the text of Rule ....

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....en imposed on the party under Section 11AC, no further penalty shall be imposed on him under Section 25 on the ground of the contravention mentioned in clause (d) ibid. In the present case, no penalty was even proposed under Section 11AC on the appellant. Rule 25, therefore, would get attracted, unaffected by Section 11AC, in the present case inasmuch as the appellant admittedly committed default ....