JUDGMENT PRAKASH KRISHNA, J. - The present revision is directed against the order passed by the Tribunal, Allahabad in Appeal No. 332 of 1992 for the assessment year 1987-88 whereby and whereunder it has set aside the order of penalty under section 4B(5) of the U.P. Trade Tax Act, 1948 passed by the authorities below. The facts of the case are not much in dispute. The matter relates to the assessment year 1987-88. The dealer - opposite party carries on the business of manufacture and sale of mirror and toughened glass. It is holding a recognition certificate under section 4B of the Act for the purchase of raw material (glass-sheet) on payment of no or concessional rate of tax. It was found that the dealer - opposite party has disposed of cuttings of glass-sheet which was not used by it in the manufacture of toughened-glass on consignment basis outside State of U.P. A show-cause notice under section 4B(5) of the Act was issued. In reply thereof it was submitted that those sheets were not of any use for manufacture of toughened glass-sheet. The residue is waste and the same is sold as a waste which may be raw material for others. The said reply was not found satisfactory either by the assessing officer or by the first appellate authority. The Tribunal by the order under revision has allowed the appeal and set aside the penalty order. The following question of law has been sought to be raised : "Whether the Trade Tax Tribunal was legally justified to set aside the penalty order passed by the assessing authority under section 4B(5) of the U.P. Trade Tax Act, 1948 despite the fact that the dealer had clearly acted in contravention of the provisions contained in section 4B of the Act ?" Heard the counsel for the parties and perused the record. It is not disputed by the dealer - opposite party that a part of raw material, i.e., sheet glass was not used by it in the manufacture of toughened glass-sheets but were disposed of by sale on consignment basis. In the reply to the show cause the stand taken is that some residue is left while converting the glass-sheet into toughened glass. The residue cannot be used for the purposes of manufacture of toughened glass. It is waste and the same was sold. In the reply to the show cause the stand taken is that some residue is left while converting the glass-sheet into toughened glass. The residue cannot be used for the purposes of manufacture of toughened glass. It is waste and the same was sold. It has been further stated that the waste may be raw material for others. The residue which was sent outside U.P. on consignment ceased to be raw material, submits the dealer in reply to the show-cause notice. Reliance has been placed on a judgement of this court in the own case of the assessee in Commissioner of Income-tax v. Hindustan Safety Glass Works [1999] 15 NTN 612 wherein this court has held that the provisions of section 4B(5) do not require that even waste or scrap of the raw material generated during the course of production should also not be sold or disposed of. Section 4B provides special relief to certain manufactures. It authorises certain manufactures to purchase raw material for the manufacture of notified goods and such notified goods are required to be sold by him inter-State or in the course of its export out of India. Admittedly, the dealer purchased glass-sheet against form IIIB and availed the benefit of concessional rate of tax/exemption. It was thus obligatory on the part of the dealer to use such glass-sheets for the manufacture of toughened glass. Before selling the remains of glass-sheet, no permission from the Department was sought for. A learned single Judge of this court in Commissioner of Trade Tax v. Faruqi Glass Industries [2007] UPTC 1098 has held that if a raw material has been purchased by availing of the benefit of exemption/concessional rate of tax and the said raw material has not been utilised for the manufacture of the notified goods, the dealer is liable for penalty under section 4B(5) of the Act. In the case on hand, the Department could not get any tax on the purchase of raw material in view of issuance of form IIIB by the dealer - opposite party. The broken glass or cutlet have been disposed of by the dealer by consignment sale and as such tax could not have been collected thereon also by the Revenue. In the case on hand, the Department could not get any tax on the purchase of raw material in view of issuance of form IIIB by the dealer - opposite party. The broken glass or cutlet have been disposed of by the dealer by consignment sale and as such tax could not have been collected thereon also by the Revenue. Sub-section (5) of section 4B on its plain reading provides that the raw material purchased by a dealer having a recognition certificate at concessional rate of tax or when no payment of tax has been made but utilised such goods for the purpose other than mentioned in recognition certificate or has otherwise disposed of, the dealer is liable to pay penalty. It further provides that if the said raw material has been disposed of otherwise such dealer shall be liable to pay penalty, such amount as the assessing authority may fix. The amount of penalty shall not be less then the difference between the amount of the tax on the sale or purchase of such goods payable under the provisions of the Act and the amount of tax payable at concessional rate under section 4B, where the goods are purchased after paying a tax at concessional rate. The intention is to make good at least the loss of tax by providing the minimum penalty. It does not grant any exemption to such dealer holding recognition certificate to dispose of such raw material purchased at concessional rate of tax or without payment of tax in any manner. The raw material has necessarily to be used in the manufacture of the specified goods. On the unused portion of the raw material, may be waste for a dealer, it has to pay the tax by way of penalty as provided for under sub-section (5) of section 4B. It may be in such cases the minimum one. In view of the above discussions, the order of the Tribunal is indefensible and is liable to be set aside so far as it holds that no penalty can be levied on the glass sheet raw material amounting to Rs. 2,43,277.10. On the facts of the present case, the interest of justice will be served by levying the minimum penalty as per provisions of the Act on the said amount. For the purposes of calculation of penalty amount only, the matter is remitted back to the Tribunal. 2,43,277.10. On the facts of the present case, the interest of justice will be served by levying the minimum penalty as per provisions of the Act on the said amount. For the purposes of calculation of penalty amount only, the matter is remitted back to the Tribunal. The revision succeeds and is allowed with costs of Rs. 1,000.