2018 (11) TMI 467 - HC - Customs

Stay of impugned order - return of the amount deposited as pre-deposit - Held that - Admission of an Appeal merely indicates that the question as urged gives rise to debatable issues. This by itself would not warrant a stay of the order dated 24th April 2017 passed by the Tribunal - No extra ordinary circumstances are pointed out which would justify depriving the Respondents, the fruit of its success before the Tribunal founded in the impugned order dated 24th April 2017. Notice of motion dismissed.

Summary

Issues:
Stay of impugned order dated 24th April 2017 in a pending Appeal under Section 130 of the Customs Act, 1966.

Analysis:
The judgment pertains to a Motion taken out in a pending Appeal under Section 130 of the Customs Act, 1966 against the Order dated 24th April 2017 passed by the Customs, Excise and Service Tax Appellate Tribunal. The Applicant sought a stay of the impugned order to ensure that the amount of ?10,00,000 deposited by the Respondent remains with the Revenue until the final disposal of the Appeal. The Applicant argued that the mere admission of the Appeal for consideration should warrant a stay of the order, and that an ad-interim stay granted previously should continue till the Appeal's disposal.

The Court noted that the admission of an Appeal indicates debatable issues but does not automatically warrant a stay of the Tribunal's order. The previous ad-interim stay, granted on 8th November 2017, was temporary and ceased on 14th December 2018. The Court highlighted that no extraordinary circumstances were presented to justify depriving the Respondent of the benefits of the success achieved before the Tribunal as per the impugned order dated 24th April 2017.

In conclusion, the Court dismissed the Notice of Motion seeking a stay of the impugned order dated 24th April 2017. The judgment emphasizes the need for exceptional circumstances to justify a stay and clarifies the temporary nature of ad-interim stays.