2015 (10) TMI 2125 - HC - Customs

Waiver of pre-deposit and penalties - Appellant contends that there is no discussion of their cases for stay in the entire body of the order - Held That - Reason behind the Tribunals requiring the appellant to make pre-depsit is not clear - Order set aside and matter remanded back to Tribunal to pass fresh order - Decided in favour of Assessee.

Summary

Issues:
Appeal against order of Customs, Excise and Service Tax Appellate Tribunal directing pre-deposit of penalties.

Analysis:
The judgment involves appeals filed by a company and its Managing Director against an order of the Customs, Excise and Service Tax Appellate Tribunal, which directed them to make a pre-deposit of Rs. 15 lacs each out of the penalties imposed. The appellants contended that their cases for stay were not discussed in the impugned order, raising concerns about the lack of clarity regarding the reason behind the pre-deposit requirement. The High Court refrained from delving into the merits of the cases but found it appropriate to remit the matter back to the Tribunal for reconsideration and orders in accordance with the law.

The High Court set aside the order requiring the appellants to deposit Rs. 15 lacs each and remitted the matters to the Tribunal for further consideration. The stay applications filed by the appellants were restored to the Tribunal's file for fresh evaluation, emphasizing the need for the Tribunal to review the stay applications and make appropriate decisions based on legal provisions. The parties were directed to appear before the Tribunal on a specified date for further proceedings, thereby allowing the appeals to the extent of setting aside the pre-deposit requirement and remitting the matter back to the Tribunal for proper consideration and orders in line with the law.