1 IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION CENTRAL EXCISE APPEAL NO.19 OF 2006 The Commissioner of Central Excise Thane-I ..Appellant. V/s. M/s.Harileela Process House. ..Respondent. Mr.A.S.Rao with Mr.R.B.Pardeshi for Appellant. Mr.M.H.Patil with Ms. Aparna Hirandagi for Respondent. CORAM : F.I. REBELLO & A.M. KHANWILKAR, JJ. DATED : OCTOBER 7, 2009 P.C. : 1. Two show cause notices for evasion of duty were served on the Petitioner. In respect of first show cause notice duty was ordered in the sum of Rs.2,26,445/- and in respect of second show cause notice in the sum of Rs.60,953/-. Thereafter equivalent amount of penalty was imposed under section 11AC of the Act read with Rule 9(2) of the Central Excise Rules, 1944. 2. The Appellant being aggrieved preferred an appeal before the Commissioner of Central Excise(Appeals). That appeal was dismissed by the Commissioner of Central Excise(Appeals). 2 3. The Respondent herein being aggrieved preferred an Appeal before the Tribunal. The learned Tribunal by the impugned order on 25/4/2005 was pleased to reduce the amount of penalty. 4. In our opinion, considering Judgment of the Supreme Court in the case of Dharmendra Textiles, there is no discretion in the Tribunal to waive the penalty as it was mandatory. In the light of that, impugned order of the Tribunal reducing the amount of penalty is set aside and order of Joint Commissioner of Central Excise, Mumbai-III dated 15.5.2000 as confirmed by the Commissioner(Appeals) is restored. Appeal disposed of accordingly. (A.M. KHANWILKAR,J.) (F.I. REBELLO,J.)