TaxTMI 
TaxTMI 
2018 (3) TMI 447
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....se Tariff Act 1985 . On 27.05.2014, the Officers of Directorate General of Central Excise, Intelligence (DGCEI), Kolkata Zonal Unit conducted a search at the Factory and Office premises of the Assessee including some other places. The said Officers also recorded the statement of Shri Amit Kumar Agarwal, Director of the Assessee company amongst others. A Show Cause Notice dated 26.05.2015 was issued proposing demand of duty along with interest and to impose penalty on the assessee and its Director. The Adjudicating authority confirmed the demand of duty of Rs. 23,15,144.00 along with interest and imposed penalty of equal amount of duty on the assessee. It has appropriated the amount of Rs. 23,15,144.00 as deposited by the Assessee. A further....
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....n of the Adjudication Order. 7. The Learned Counsel appearing on behalf of the Assessee and its Director reiterated the findings of the Commissioner (Appeals). It is submitted that the Assessee paid the duty in order to avoid further litigation, hence, it is not a case of clandestine removal of the goods and there was no requirement of issuance of a Show Cause Notice. Accordingly, the Commissioner (Appeals) has rightly set aside the penalties on the Assessee and its Director. 8. I find that Shri Amit Kumar Agarwal, Director of the Assessee company, in his statement stated that the entries of sale of Sponge Iron as mentioned in the seizure list was cleared without payment of Central Excise duty. The Assessee has paid the duty on remova....
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....ot be necessary. It is also evident from the oral submission made by Shri Partha Sengupta, Employee of Noticee No.1 at the time of personal hearing that they want waiver of interest & penalty proposed in show cause notice. It means, the Noticee No.1 has accepted the duty liability as stated in their letter dated 27.05.2014 and in the voluntary statement given on 29.09.2014. I also find that in view admittance of clandestine removal of finished goods i.e. sponge iron by the Director of Noticee No.1 duty already paid by the Noticee is to be appropriated. They are liable to pay interest at appropriate rate in terms of Section 11AA and also to penalty under Section 11AC of Central Excise Act, 1944 read with Rule 25 of Central Excise Ru....
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....mmissioner (Appeals) had relied upon the various decisions of the Tribunal on the issue of clandestine removal but he had not examined the facts of the case in proper manner. It is well settled law that the judicial precedence would be applied in the context of each facts of the case. In the present case, I find that the Assessee is not disputing the demand of duty on clandestine removal of the goods and therefore imposition of penalty under Section 11AC of the Central Excise Act is liable to be invoked as held by the Hon'ble Supreme Court in various decisions. Accordingly, the imposition of penalty on the Assessee is required to be upheld. However, I agree with the submission of the Learned Counsel for the Assessee that there is no materia....