M/S RAINBOW RUBBER INDUSTRIES vs ASSISTANT COLLECTOR OF CEN.EXCISE,MADUR.

The Supreme Court upheld the conviction of the appellants under the Central Excise & Salt Act, 1944 for evading central excise duty, confirming the trial court's findings. However, considering the appellants' age (over 70 years) and the fact that the evaded duty had already been paid, the Court modified the sentence to a monetary penalty of Rs. 2 lacs each in lieu of six months imprisonment. The appellants were directed to pay the fine within six weeks and produce a receipt to cancel their bail bonds.