2016 (4) TMI 22 - AT - Service Tax

Stay appeal - Extension of period of stay - Applicant has not taken necessary steps for disposal of the appeal - Held that - the appeal was not taken for hearing by the Tribunal as there is huge pendency of the appeals. Lot of appeals have already been listed and therefore it is difficult to take up the appeals hearing at this stage. Therefore, the extension of stay is granted till the disposal of the appeal. - Stay granted and appeal disposed of

Summary

Issues:
Extension of period of stay granted by the Tribunal.

Analysis:
The applicant filed a miscellaneous application seeking an extension of the period of stay granted by the Tribunal. The Tribunal referred to a decision by the Larger Bench in the case of M/s Haldiram India Pvt. Ltd. & others, which emphasized the Tribunal's discretion to grant an extension of stay beyond the initial period if the appeal could not be disposed of due to reasons not attributable to the appellant and if the appellant was ready and willing for the disposal of the appeal. The Tribunal highlighted the need for passing a speaking order disclosing satisfaction regarding the absence of delay or protractive strategies by the appellant. The Tribunal directed the maintenance of a separate register to prioritize appeals where stay has been granted, subject to organizational limitations.

The applicant did not appear during the proceedings, and it was observed that the appeal had not been taken up for hearing after the Stay Order was passed. The Authorized Representative for the Revenue contended that the applicant had not taken necessary steps for the disposal of the appeal. The Tribunal acknowledged the huge pendency of appeals, making it difficult to schedule hearings promptly. Consequently, the Tribunal granted an extension of stay until the disposal of the appeal, considering the circumstances of the case and the existing backlog of appeals. The miscellaneous application filed by the applicant was disposed of accordingly.

In conclusion, the Tribunal exercised its discretion in granting an extension of stay based on the principles outlined in the Haldiram India Pvt. Ltd. case and considering the practical challenges posed by the significant backlog of appeals. The decision prioritized the efficient management of cases while ensuring fairness to the appellant in seeking a timely resolution of the appeal.