COMMNR.OF CENTRAL EXCISE, KOLKATA vs. M/S.PRAXAIR INDIA PVT.LTD

Delay condoned.

Learned counsel for the sole respondent appears and takes notice. Hence notice waived.

Appeal admitted.

The issue raised in this appeal lies in a very narrow compass. Therefore, by consent of the learned counsel for the parties to the lis, the matter is taken up for final hearing.

The issue in this appeal is, whether penalty and interest can be levied and collected when the duty has been paid before the issue of Show Cause Notice under the provisions of the Central Excise Act, 1944 (‘the Act’ for assessee's appeal and has set aside the demands & Ors., (2008) 13 SCC p.369 and, therefore, submits that the matter to the High Court/Tribunal, as the case may be, for fresh adjudication in the light of the decision of this Court in Dharmendra Textile Processors case (supra).

In view of the above, we are left with no other alternative but to set aside the orders passed by the Tribunal in Appeal No.E/711/03 dated 16.8.2005 and remit the matter to the Tribunal for its fresh consideration and decision. We also make it clear that the Tribunal now will decide the issue afresh, keeping in view the observations made by this Court in Dharmendra Textile 3

With these observations and directions, the appeal is disposed of. No costs. ...................J. (H.L. DATTU) ...................J. (ANIL R. DAVE) NEW DELHI; FEBRUARY 22, 2012 4