2006 (6) TMI 131 - HC - Central Excise

Summary

Issues:
Challenging order by first respondent, validity of Central Excise Registration Certificate, demand for payment, dismissal of appeal by Tribunal, compliance with deposit condition.

Analysis:
The petitioner challenged the order passed by the first respondent seeking a writ of certiorarified mandamus. The petitioner, a company manufacturing M.S. Ingots, had a valid Central Excise Registration Certificate. The second respondent issued a show cause notice demanding payment based on statements obtained from various sources. The Tribunal dismissed the petitioner's appeal for non-compliance with the deposit condition.

The petitioner argued that the appeal was not decided on merits and the deposit condition was onerous. The respondents contended that the Tribunal rightly dismissed the appeal due to non-compliance with the deposit condition. The Court considered the case and opined that the petitioner should have the opportunity to present their case before the Tribunal. The Tribunal had imposed a deposit condition which was not fully met by the petitioner, leading to the dismissal of the appeal without considering the merits.

The Court reduced the deposit amount from Rs. 7,50,000 to Rs. 5,00,000 considering the petitioner had already deposited Rs. 1,00,000. The petitioner was directed to deposit the balance amount within four weeks. Once the condition was satisfied, the Tribunal was instructed to take up the appeal and proceed with the matter. The Court disposed of the writ petition with these directions, closing the connected W.P.M.P. without costs.