2011 (6) TMI 443 - AT - Central Excise

Demand along with interest and equal amount of penalty - appellants had prayed for stay of the demand during the pendency of the appeal while disposing the stay application - appellants had failed to make pre-deposit within the prescribed period and consequently by order appeal was dismissed on that count - Held that - Since appellants has already deposited sum of Rs.5,41,032/- Considering the same, the appeal is allowed, order set aside and the matter remanded to the Commissioner (Appeals).

Summary

Issues: Appeal against order of Commissioner (Appeals) dismissing appeal, failure to deposit demanded amount leading to dismissal, remand by High Court, deposit made during pendency of appeal.

The judgment by the Appellate Tribunal CESTAT, Delhi involved an appeal arising from an order passed by the Commissioner (Appeals) Ghaziabad, where the appeal filed by the appellants against the order of the Assistant Commissioner, confirming a demand of Rs. 3,91,032/- along with interest and penalty, was dismissed. The appellants had prayed for a stay of the demand during the appeal, but failed to deposit the directed amount of Rs. 1,50,000/- within the prescribed period, resulting in the dismissal of the appeal on that ground. Subsequently, the Tribunal directed the appellants to deposit the same amount by a specified date. However, the appellants approached the High Court through a writ petition, leading to the High Court setting aside the Tribunal's order and remanding the matter.

Meanwhile, during the pendency of the proceedings, the appellants had already deposited a higher sum of Rs. 5,41,032/-. Taking this into consideration, the Tribunal allowed the appeal, setting aside the impugned order and remanding the matter back to the Commissioner (Appeals) for a decision on merits expeditiously and before 31.12.2011. The appeal was accordingly disposed of, bringing the matter to a resolution.