IN THE SUPREME COURT OF INDIA

CRIMINAL APPELLATE JURISDICTION

CRIMINAL APPEAL NO. 1849 OF 2009 (@ Special Leave Petition (Crl.)No.3129 of 2008)

M/S RAINBOW RUBBER INDUSTRIES & ORS.              APPELLANT(S)

                VERSUS

ASSISTANT COLLECTOR OF CEN.EXCISE,MADURAI         RESPONDENT(S)

O R D E R

Leave granted.

Appellant  nos.2  and  3  herein,  who  are  partners  in  the  

appellant no.1 firm, are challenging the conviction and sentence  

passed against them under Section 9 of the Central Excise & Salt  

Act, 1944. It was alleged that the appellants evaded central excise  

duty and the trial court found the appellants guilty and sentenced  

them to undergo imprisonment for a period of six months and to pay a  

fine  of  Rs.1,000/-  each  and  in  default  to  undergo  simple  

imprisonment  for  a  period  of  one  month  each.   The  appellants  

challenged  their  conviction  before  the  Additional  District  and  

Sessions Court and the same was dismissed.  The appellants filed a  

revision against the same before the High Court and the High Court  

dismissed  the  revision  and  upheld  the  order  of  the  District  &  

Sessions Judge.  

Heard both sides.

Learned  counsel  for  the  appellants,   submits  that  the  

appellants are above 70 years' in age and the entire duty allegedly  

evaded by the present appellants has already been paid by them.  

Under the above circumstances and in view of the special reasons, we

confirm the conviction but modify the sentence and direct that the  

appellants 2 and 3 shall pay a sum of Rs.2 lacs each in lieu of six  

months imprisonment within six weeks before the Addl.Chief Judicial  

Magistrate,  Madurai  and  produce  a  receipt  before  the  authority  

before whom the appellants had executed bail bonds and on production  

of such receipt, their bail bonds will stand cancelled.  

Appeal is disposed of accordingly.

..................CJI (K.G. BALAKRISHNAN)

...................J. (P. SATHASIVAM)

...................J. (Dr. B.S. CHAUHAN)

NEW DELHI; 1ST OCTOBER, 2009