Full Judgment
2. Penalty has been imposed on the applicant on the ground that when he was the managing director of Hitech Drugs Ltd., he abetted the sale by the company contrary to law of 60 tonnes of acetone which the company imported free of duty under notification 203/92 which prohibited sale without discharging export obligation.
3. The counsel for the applicant contends that the evidence cited in the Commissioner's order implicates the applicant in involvement of sale of 30 tonnes. (In reply to our question he says, to the best of his knowledge, the company has not appealed this order.) He accepts that the applicant in his statement before the investigating officers, admitted his role in the sale of the goods; he also accepts that the two buyers of the goods, in their statements, have named the applicant to be the person with whom they dealt and they paid the proceeds of sale. The counsel is not able to say whether these statements have been retracted. He however says that document produced by the company shows receipt of the goods in the factory, thus providing evidence against sale.
4. In the light of the admission made by the applicant and the others, which have not been retracted, we do not think that penalty should be waived in full. Having regard to the submission made before us, we consider that a deposit of Rs. 2.5 lakhs, to be made within four weeks from the receipt of the order would be appropriate. On such deposit, we waive deposit of the remaining amount and stay its recovery.