117. Penalty for contravention or misuse of provisions of section 16

Where a dealer has contravened any of the provisions of section 116 or rules made thereunder or furnishes incorrect or fabricated statements or forged documents with the intention to deceive the Government, the Commissioner shall, after giving such dealer a reasonable opportunity of being heard, impose upon him a penalty, in the manner prescribed, a sum not exceeding one hundred per centum of such tax which would have been payable by such dealer had he not been granted such deferment.