2003 (12) TMI 431 - AT - Central Excise

Summary

Issues: Financial hardship leading to defunct company, Modvat credit claim, Apex Court judgment applicability, waiver of pre-deposit, out of turn hearing request.

The judgment dealt with the issue of financial hardship faced by the appellant, whose company had ceased production and was defunct. The appellant claimed Modvat credit, which was yet to be adjudicated by the Court. The Revenue argued that the entire amount was due based on the Apex Court judgment in the case of Venus Castings (P) Ltd. v. CCE. The Revenue contended that the appellant could not combine procedures under Rule 96ZP(3) and Section 3A(4) for determining production capacity. The consultant argued that calculating duty liability based on actual production would significantly reduce the amount owed, considering the company's closure and awaited bank loans. The appellant requested an out of turn hearing with a full waiver of the pre-deposit.

The Tribunal, after careful consideration, acknowledged the financial hardship faced by the appellant and the defunct status of their company. Recognizing that the Modvat credit claim was pending adjudication, the Tribunal granted a waiver of the entire pre-deposit amount. Due to the high revenue involvement, the matter was listed for an out of turn hearing on a specified date. The Tribunal allowed the stay application, providing relief to the appellant in light of the challenging circumstances they were facing.