2014 (1) TMI 684 - AT - Central Excise

Affixation of MRP on goods cleared Waiver of Pre-deposit Held that - The arguments need to be examined in detail, which exercise is not possible at stay stage assessee offered to submit an amount of Rs. 10 lakhs as pre-deposit which is accepted upon such submission rest of the duty to be stayed till the disposal Partial stay granted.

Summary

Issues:
Waiver of pre-deposit and stay of recovery in a case involving differential duty of excise on cement cleared to Andhra Pradesh State Housing Corporation.

Analysis:
The appellant sought waiver of pre-deposit and stay of recovery for adjudged dues, including over Rs. 1.75 crores demanded as differential duty of excise on cement cleared to Andhra Pradesh State Housing Corporation. The appellant argued that their case fell under Sl. No. 1A of Notification No. 4/2006-CE, while the Revenue contended duty should be paid as per Sl. No. 1C of the same notification. The appellant relied on precedents like Commissioner Vs. Sagar Cements Ltd., supported by this Tribunal and the apex court. The Revenue, represented by the Superintendent (AR), pointed out distinctions in the current case, emphasizing the clarification obtained from the Legal Metrology Department regarding the nature of sale to the Housing Corporation. The crux of the matter was whether MRP needed to be affixed on the goods supplied to the Corporation, a complex issue requiring detailed examination beyond the stay stage.

The Tribunal acknowledged the complexity of the issue and the need for a thorough examination. The appellant expressed readiness to present a strong case during the final hearing and offered to pre-deposit Rs. 10 lakhs for the interim period. Consequently, the Tribunal directed the appellant to pre-deposit the specified amount within six weeks and report compliance. Upon compliance, waiver and stay would be granted for the remaining dues, allowing for a more detailed examination of the case during the final hearing. The decision was pronounced and dictated in open court, ensuring transparency and procedural clarity in the proceedings.