2004 (2) TMI 99

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Revenue, the issue relates to the imposition of penalty on the respondents under Rule 173Q. The Commissioner (Appeals) has set aside the penalty on the ground that duty was deposited by the respondents before the issuance of the show cause notice. He has relied upon the ratio of law laid down in Karnal Agricultural Industry P. Ltd. v. CCE, Delhi-III - 2002 (53) RLT 921 and Ashok Leyland Ltd. v. C....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rmed the duty but set aside the penalty as observed above on the ground that duty had been deposited by the respondents before the issuance of the show cause notice. He has relied upon the ratio of law laid down in above referred cases. 3. But in my view, the impugned order of the Commissioner (Appeals) in this regard cannot be sustained. It is not a case where the respondents can be said to ha....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....hose assessees who firstly indulge in duty evasion by removal of the goods clandestinely and thereafter deposit the duty by pleading guilty. The exemption from penalty cannot be extended to those assessees who voluntarily of their own deposit the duty on account of shortage of the finished goods or inputs. Therefore, keeping all these facts and circumstances of the case, the ratio of law laid in t....