2011 (12) TMI 507 - SC - Central Excise

Summary

Issues involved:
1. Upholding the order of the Tribunal for pre-deposit of anti-dumping duty and penalty amount.
2. Appeal against the High Court's decision regarding the pre-deposit amount.
3. Financial hardship faced by the appellants.
4. Discretionary nature of the order for pre-deposit.
5. Decision on the revised pre-deposit amount by the Supreme Court.

Analysis:
1. The Supreme Court dealt with the issue of upholding the Tribunal's order for pre-deposit of anti-dumping duty and penalty amount. The High Court had upheld this order, which directed the appellants to deposit an amount of &8377; 10 crores. The appellants appealed against this decision, citing financial hardship. The Supreme Court reviewed the documents presented and decided to reduce the pre-deposit amount to &8377; 5 crores, allowing the appeals to be revived by the Tribunal for further consideration.

2. The appeal specifically challenged the High Court's decision regarding the pre-deposit amount required by the Tribunal. The appellants argued that the financial burden imposed by the High Court's order was excessive, considering their financial condition. The Revenue, represented by learned senior counsel, contended that the nature of the levy and the amount involved justified the pre-deposit requirement. The Supreme Court, after considering both arguments, adjusted the pre-deposit amount to &8377; 5 crores, finding it more reasonable than the initial &8377; 10 crores directed by the Tribunal.

3. The issue of financial hardship faced by the appellants was a crucial aspect of the case. The appellants' counsel highlighted the comparative financial statements to demonstrate the company's financial health and argued that the original pre-deposit amount was onerous given their financial condition. The Supreme Court took this argument into account while reducing the pre-deposit amount to alleviate the financial burden on the appellants.

4. The discretionary nature of the order for pre-deposit was also discussed during the proceedings. The Revenue's counsel emphasized that the order should be viewed as discretionary and not subject to interference by the Court. However, the Supreme Court exercised its discretion by modifying the pre-deposit amount from &8377; 10 crores to &8377; 5 crores, considering the circumstances and the ends of justice.

5. Finally, the Supreme Court made a decision on the revised pre-deposit amount, directing the appellants to deposit &8377; 5 crores within six weeks to revive their appeals before the Tribunal. The Court disposed of the appeals with no order as to costs, effectively resolving the issue of the pre-deposit amount and allowing the appeals to proceed for consideration on merits.