2009 (5) TMI 555 - AT - Service Tax

Appearance without filing a Vakalatnama - 5 others advocates have been appeared earlier - Held that - while dismissing the appeal, tribunal directed the advocate to file a memo of appearance in support of his appearance and also Vakalat duly executed by his client with no objection if that is required from the learned Counsel who appeared in the previous occasions - signatory to vakalatnama and also whether he was signatory to the vakalatnama. Registry is directed to place a report to the Bench getting compliance by way of memo

Issues:
1. Appeal against Service Tax demand orders.
2. Stay applications and modifications.
3. Pre-deposit compliance and High Court involvement.
4. Dismissal of appeals due to dilatory tactics and prejudice to Revenue.
5. Guidance by Hon'ble Supreme Court and dismissal of appeals.
6. Requirement of Vakalatnama and appearance compliance.

Analysis:
1. The case involved an appeal against Service Tax demand orders totaling Rs. 13,29,877/- arising from two separate orders dated 28-6-2007 and 17-7-2007. The appellant approached the Tribunal with stay applications, which were disposed of with a direction to make a pre-deposit of 50% of the total demand within eight weeks.

2. Subsequently, the appellant sought modification of the stay order, leading to a series of hearings and directions from the Tribunal and the High Court. Despite multiple opportunities and extensions granted for compliance, the appellant engaged in dilatory tactics, including withdrawing writ petitions and miscellaneous applications, causing prejudice to the Revenue.

3. The Revenue, represented by the DR, argued for the dismissal of the appeals due to the prolonged adjudication process, lack of success before the first Appellate Authority, and the appellant's abuse of legal processes. The Tribunal acknowledged the Revenue's position and observed that the appellant's actions had indeed prejudiced the Revenue's interest.

4. The Tribunal, after hearing both sides and examining the record, noted the correctness of the Revenue's factual submissions. While the appellant had filed a Civil Appeal before the Supreme Court, the Tribunal emphasized that it would be guided by any orders passed by the Supreme Court in that appeal. Citing precedents like Dunlop India Ltd. and Benara Valves Ltd., the Tribunal found the appellant's conduct to be dilatory and dismissed the appeal in the absence of a stay order from the Apex Court.

5. Emphasizing the need to prevent undue hardship to the Revenue and following the Supreme Court's precedents, the Tribunal concluded that the appeal had to be dismissed due to the appellant's dilatory tactics. The dismissal was made subject to the outcome of the Civil Appeal filed by the appellant before the Supreme Court.

6. Additionally, the Tribunal addressed the issue of Vakalatnama, directing the appellant's counsel to file a memo of appearance and a duly executed Vakalatnama. The counsel was required to explain whether all previous counsels were signatories to the Vakalatnama, ensuring compliance with procedural requirements.

This detailed analysis highlights the procedural history, legal arguments, and the Tribunal's decision in the case, focusing on issues related to compliance, dilatory tactics, and the dismissal of the appeals.

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