ORDER
S.L. Peeran, Member (J)
1. By this reference application, the Revenue seeks to refer the following questions of law:
(1) Whether the CEGAT Stay Order No. 223/99/fmal Order No. 336/99 dated 12.2.99 on appeal filed against OIA No. 114 to 116/98 (MDU dt. 16.9.98 by the respondent manufacturer can be considered as final under Section 35C when the appeal filed by the applicant herein under Section 35B on 7.12.98 aqainst the same OIA was not considered bv the Hon’ble CEGAT.
(2) Whether the penal provisions under Section 11A would apply to the offence committed prior to its introduction on 28.9.96, when the SCN was issued subsequent to the date of introduction.
2. The Tribunal allowed the party’s appeal by Final Order No. 336/99 dated 12.2.99 holding that penalty of Rs. 50,000 was not imposable under Section 11AC of the CE Act and for the period the offence which was committed during the period 1.4.95 to 31.10.95 while Section 11AC was introduced only with effect from 28.9.96. While setting aside the penalty the Tribunal noted the judgment rendered in the case of Lakshmi Packaging Pvt. Ltd. as and that of Maththi Udyog Ltd. v. CCE, as . It has also noted that the Collector had accepted the plea that during the relevant period of committal of the offence Section 11AC was not in existence in the Statute book. However, he had still proceeded to confirm penalty by merely reducing the amount to Rs. 50,000.
3. The Revenue in this reference application seeks that questions be referred to the High Court.
4. The appellants have opposed the prayer by filing a detailed written submission.
5. Heard the learned DR.
6. On perusal of the records, and also the grounds made out for referring the matter to the High Court I am satisfied that the Revenue has not made out a case for referring the matter to the High Court for the reason that Section 11 AC was not in the statute book. Therefore, there could not have been any ground for imposition of penalty under this Section. The Tribunal had also applied the earlier judgments on the issue and hence there is no law involved for reference to the High Court. Hence the reference application is rejected.