Confiscation of unaccounted Raw Material and Clandestine of Gutka: CESTAT upholds Penalty [Read Order]

The New Delhi bench of the Customs, Excise & Service Tax Appellate Tribunal (CESTAT) upheld penalties imposed on individuals involved in the clandestine manufacture and transportation of gutka. \r

Despite arguments that penalties should be revoked, the tribunal reasoned that transporters are aware of the necessity to carry proper documentation for goods transport. It observed that even less educated drivers understand the need for invoices or bills. Consequently, the penalties were upheld. \r

However, in the case of Sunil Sarogi, the tribunal allowed the excise appeal and set aside the impugned order. The two-member bench comprised Justice Dilip Gupta and Mr. P V Subba Rao. Shri A K Prasad represented the appellant, while Shri Bhagwat Dayal appeared for the respondent.