2011 (4) TMI 1069 - AT - Central Excise

Pre-deposit - assessee made the pre-deposit of Rs.50,000/- and praying for extending time limit by at least two months for depositing the balance amount of Rs.1.50 lakhs, on the ground that the partner suddenly took ill and the company is facing some financial crisis - time limit for complying with the direction is extended by two months

Summary

Issues:
1. Pre-deposit amount directed by the Tribunal for M/s. Shva Steel Rolling Mills and Shri Pravesh R. Gautam.
2. Extension of time for depositing the balance amount by M/s. Shiva Steel Rolling Mills.
3. Compliance of the direction by Shri Pravesh R. Gautam.

Analysis:
1. The Tribunal, in its order dated 24/12/2010, directed M/s. Shva Steel Rolling Mills to make a pre-deposit of Rs.2.00 lakhs within eight weeks and Shri Pravesh R. Gautam to deposit Rs.25,000 within four weeks. No appearance was made on behalf of M/s. Shiva Steel Rolling Mills. However, a letter dated 08/04/2011 stated that a pre-deposit of Rs.50,000 was made on 28/02/11, requesting an extension of two months to deposit the balance due to a partner's illness and financial crisis. Considering the circumstances, the time limit was extended until 28/04/2011 for M/s. Shiva Steel Rolling Mills to deposit the remaining Rs.1.5 lakhs, with a compliance report due on 29/04/2011, failing which the appeal would be disposed of without further reference.

2. The extension granted to M/s. Shiva Steel Rolling Mills was based on the partner's illness and financial crisis, leading to a two-month extension to fulfill the pre-deposit requirement. The Tribunal emphasized the importance of complying with the extended deadline to avoid adverse consequences, clearly stating that non-compliance would result in the disposal of the appeal without further reference to the party.

3. In the case of Shri Pravesh R. Gautam, compliance with the Tribunal's direction was noted and duly recorded, indicating that the pre-deposit amount of Rs.25,000 was successfully made within the stipulated time frame. This compliance was acknowledged in the court proceedings, ensuring that the individual's adherence to the Tribunal's order was duly recognized.