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2015 (10) TMI 703 - HC - Central ExciseWaiver of pre deposit - Held that - An order granting or declining waiver of pre-deposit in full or part is a discretionary order. But even a discretionary order which affects another, is required to be reasoned disclosing application of mind to the issues involved and a prima facie opinion for the conclusion. - There is no discussion in the order dated 29-9-2014 while disposing the stay application why the Tribunal was satisfied to deny complete waiver of pre-deposit and to direct deposit of the entire penalty amount. We further find that the appellant had taken a ground of financial difficulty which has not been considered at all. - Impugned order is set aside - Matter remanded back - Decided in favour of assessee.
Issues:
Appeal against order of Customs, Excise & Service Tax Appellate Tribunal regarding waiver of pre-deposit. Analysis: The judgment revolves around the appeal arising from an order passed by the Customs, Excise & Service Tax Appellate Tribunal concerning the waiver of pre-deposit. The appellant's counsel argued that the Tribunal directed the deposit of the entire penalty without granting any waiver, failing to consider the appellant's financial difficulty as mentioned in the stay application. On the other hand, the respondent's counsel contended that the waiver of pre-deposit was discretionary and not a matter of right. The High Court acknowledged that the order on waiver of pre-deposit is discretionary, but emphasized the necessity of providing reasons and demonstrating a prima facie opinion for such decisions, particularly when it impacts the parties involved. The court observed that the Tribunal's order lacked discussion on why complete waiver was denied and why the entire penalty amount was directed to be deposited, without considering the appellant's financial difficulty plea. Consequently, the High Court set aside the Tribunal's order and remanded the matter for a fresh consideration of the waiver application in compliance with the law, ultimately allowing the appeal.
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