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Issues: Application for stay of order of the Tribunal dated 2-4-1986 dismissing the appeal, direction to Department not to dispose of goods pending disposal of reference application by High Court.
The judgment pertains to an application seeking a stay of the order of the Tribunal dated 2-4-1986 dismissing the appeal of the petitioner. The petitioner had initially filed a reference application against the Tribunal's order, which was also dismissed. Subsequently, the petitioner moved the High Court of Madras, which admitted the reference application and granted a stay for eight weeks. The petitioner sought direction for the stay of the order relating to the absolute confiscation of goods, specifically YKK zip fasteners. The petitioner argued that if the reference application is allowed by the High Court, they would not be able to retrieve the confiscated goods unless the order of confiscation is stayed. The Department contended that although the goods were not perishable, they would deteriorate over time, and the petitioner could claim the sale proceeds. The Tribunal considered the submissions and noted that the High Court had directed the revival of the stay petition. Given that the goods were of foreign origin and still available with the Department, it was deemed just and proper to direct the Department not to dispose of the goods until the reference application is disposed of by the High Court to prevent any loss or injury to the petitioner. The Tribunal emphasized that the goods had been preserved by the Department for more than seven years, and with the reference application pending, it was crucial to maintain the status quo to protect the petitioner's interests. Therefore, the Tribunal ordered the Department not to dispose of the goods pending the disposal of the reference application by the High Court.
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