2013 (11) TMI 1129 - AT - Central Excise

Half of the duty and penalty ordered to be submitted - Waiver of Pre-deposit Assesse contended that the Commissioner (Appeals) rejected the appeal on merit without giving them proper opportunity of hearing - Held that - The applicant No.1 directed to deposit Rupees Twelve lakhs eighty seven thousand nine hundred and twenty nine as pre-deposit upon such submission rest of the duty to be waived till the disposal partial stay granted.

Summary

Issues:
Demand of duty and penalty, non-compliance of stay order, rejection of appeal on merit without proper opportunity of hearing.

Analysis:
The judgment addresses three applications arising from a common order regarding a demand of duty and penalty. The Commissioner (Appeals) had directed the applicant to deposit 50% of duty and penalty, but the applicant only deposited Rs.3 lakhs. The appeal was rejected for non-compliance of the stay order and on merit. The main contention was the rejection on merit without proper opportunity of hearing. The Tribunal directed the applicant to deposit Rs.12,87,929 within 8 weeks. Upon this deposit, pre-deposit of balance duty and penalty for the first applicant was waived, and recovery stayed. Compliance was to be reported by a specified date, with pre-deposit of penalty against other applicants waived subject to due compliance.

This judgment highlights the importance of complying with stay orders and the consequences of non-compliance. The Tribunal considered the submissions of both sides and provided a specific directive for the first applicant to deposit a specified amount within a set timeframe. The waiver of pre-deposit and stay of recovery were contingent upon this compliance. It underscores the procedural requirements and the need for proper opportunity of hearing before rejecting an appeal on merit. The Tribunal's decision aimed to balance the interests of the parties involved while ensuring compliance with legal provisions.

Overall, the judgment emphasizes the significance of procedural adherence, compliance with directives, and the right to a fair hearing in legal proceedings. It showcases the Tribunal's role in ensuring justice is served while upholding the principles of natural justice and due process. The detailed analysis of the issues involved and the specific directives provided by the Tribunal demonstrate a meticulous approach to resolving the matter at hand.