IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION CENTRAL EXCISE APPEAL NO. 21 OF 2006 The Commissioner of Central Excise and Customs Daman Commissionerate. ... Appellant. V/s. M/s.Swastic Oil Products Mfg.Co. and another. ... Respondent. P.S.Jetly for the appellant. None for the respondent. CORAM : V.C.DAGA AND K.K.TATED, JJ. DATED : 10th February 2010. P.C. : Heard learned counsel for the Revenue. None fore the respondents. Perused appeal. 2. This appeal was admitted by an order dated 17th March, 2006 to consider the following substantial questions of law: Whether the Tribunal was right in setting aside the penalty imposed under Section 11AC on account of the fact that the duty was paid before the issue of Show Cause Notice on the goods payable which were illicitly removed by without payment of duty? (ii) Whether equal penalty under section 11AC of Central Excise Act 1944 is leviable in respect of case covered under the provisions of sub-section 2(c) of 11A ibid? 3. The learned counsel for Revenue brought to our notice the judgment of the Apex Court in case of Union of India v. Dharmendra Textile Processors, reported in 2008 (231) ELT 3 (SC) followed by another judgment of the Apex Court in case of Union of India v. Rajasthan Spinning & Weaving Mills, reported in 2009 (238) ELT 3 (SC), which are followed by the Division Bench of this Court in case of The Commissioner of Central Excise & Customs v. M/s.Shri Ram Aluminium Pvt.Ltd. in Central Excise Appeal No.199/2006 decided on 30th June, 2009 (unreported) wherein the identical question fell for consideration wherein it has been held that under Section 11AC of the Central Excise Act, 1944 it is not mandatory to prove mens-rea as essential ingredient for levying penalty. 4. The issue raised in the present appeal, in the above circumstances, is covered by the aforesaid three judgments. For the reasons recorded therein, appeal is liable to be allowed. In the result, impugned order is quashed and set aside. The questions framed are answered in favour of the Revenue and against the Respondents. 5. Appeal stands disposed of in terms of this order with no order as to costs. (K.K.TATED, J.) (V.C.DAGA J.)