2003 (3) TMI 113 - SCH - Central Excise

Stay/Dispensation of pre-deposit - Held that - The reasoning given in support of such order is wholly unsatisfactory. The appellate authority has not at all considered the prima facie merits and has concentrated upon the prima facie balance of convenience in the case. The Appellate Authority should have addressed its mind to the prima facie merits of the appellants case and upon being satisfied of the same determined the quantum of deposit taking into consideration the financial hardship and other such relevant factors - Matter remitted back - Decided in favour of assessee.

Summary

The Supreme Court set aside the order of the Commissioner (Appeals) directing appellants to deposit Rs. 30 lakhs under Section 35F of the Central Excise Act, 1944. The Court found the reasoning unsatisfactory and remanded the matter back to the appellate authority for redetermination, emphasizing consideration of prima facie merits and relevant factors. The appeal was allowed without costs.