2013 (5) TMI 827 - HC - Customs

Waiver of pre-deposit Financial hardship Tribunal directed appellant to make pre-deposit of 25% of cumulative demand of customs duty as condition for hearing appeal before it Held that - appellant urged that he may be given opportunity to place material with regard to financial hardship before Tribunal and that Tribunal be directed to consider case from point of view of financial hardship also Appellant permitted to move appropriate application before Tribunal indicating its financial hardship Tribunal to consider same and pass appropriate order Appeal disposed of.

Summary

Issues:
1. Appeal against the order of Customs Excise and Service Tax Appellate Tribunal directing pre-deposit of 25% of cumulative demand of customs duty.
2. Request for consideration of financial hardship by the Tribunal.
3. Permission for the appellant to submit an application regarding financial hardship.

Analysis:
1. The judgment deals with an appeal challenging the Customs Excise and Service Tax Appellate Tribunal's order requiring a pre-deposit of 25% of the total customs duty demand as a condition for hearing the appeal. The appellant contended financial hardship, which was mentioned in the application but not strongly argued during the proceedings. The court declined to interfere with the Tribunal's prima facie view on the matter. However, the appellant was granted permission to submit an application highlighting their financial hardship for the Tribunal's consideration. If such an application is filed within a week, the Tribunal is directed to review and potentially modify its earlier order based on the appellant's financial difficulties.

2. The appellant's counsel requested the court to allow the presentation of evidence regarding financial hardship, which was not extensively discussed during the initial proceedings. While the court did not overturn the Tribunal's decision, it permitted the appellant to formally raise the issue of financial hardship by submitting an application to the Tribunal. The court emphasized that the Tribunal should assess the appellant's financial situation and adjust its previous order if convinced of the severity of the financial challenges faced by the appellant.

3. The judgment concludes by disposing of the appeal with the mentioned observations. It highlights the importance of the appellant submitting an application to the Tribunal within a week to address the financial hardship aspect. The Tribunal is instructed to review the case and potentially alter its previous order if persuaded by the appellant's arguments regarding significant financial difficulties.