M.K. KOTECHA vs COMMNR.OF CENT.EXCISE,AURANGABAD

The Supreme Court, in this appeal under Section 35L(b) of the Central Excise Act, 1944, addressed the issue of whether the extended period of limitation under the proviso to Section 11A(1) was justifiably invoked by the department for a short-levy demand of Rs.18,34,464/- and a penalty of Rs.2 lacs. The Court held that the invocation of the extended period was justified due to the appellant's failure to disclose the correct facts regarding the clearance of RCC pipes and collars, which were claimed to be captively consumed. Consequently, the Court upheld the Tribunal's decision confirming the demand and penalty imposed by the department.