9911796707
TMI Blog2015 (3) TMI 1042X X X X Extracts X X X X X X X X Extracts X X X X ..... of ₹ 1.58 crores, the appellant must deposit a sum of ₹ 80 lacs. - Decided partly in favour of assessee. - CENTRAL EXCISE APPEAL NO. 02 OF 2015 - - - Dated:- 9-3-2015 - K.M. Joseph C.J.And V.K. Bist J. For the Appellant : Mr. Alok Yadav Mr. Pullak Raj Mullick For the Respondent : Mr. Shobhit Saharia, K.M. Joseph, C.J. (Oral) This is an Appeal, which has been filed under Section 35 G of the Central Excise Act, 1994 (hereinafter referred to as the Act). Appellant is aggrieved by Annexure-3 order. By Annexure-3 order, the Customs, Excise And Service Tax Appellate Tribunal (hereinafter referred to as the Tribunal) has disposed of the Application maintained under Section 35 F of the Act by directing the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... would fall within the limitation period. As such, by adopting the earlier stay orders passed in the case of other appellants, similarly situate, we direct the appellants to deposit 50% of the amount of ₹ 3.07 crores i.e. ₹ 1.58 crore within a period of 8 weeks from today and report compliance on 4.2.2015. Subject to deposit of the above amount, the pre-deposit of the balance amount of duty and entire amount of penalty shall stand waived and its recovery stayed during the pendency of appeal. 3. We have heard the learned counsel for the appellant and the learned Standing Counsel for the Central Excise / respondent. 4. Appellant is engaged in manufacture of laminates. Appellant captively manufactures the products, which are ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... are chargeable to excise duty. 2. Shri Ramachandran, Corporate Taxation Advisor, submitted that the department is seeking to levy the duty at the initial stage when two products namely, Phenol and Formaldehyde or Urea and Formaldehyde are mixed. The mixture is in unstable condition. He further submitted that the issue has been settled by the Supreme Court in the case of Moti Laminates, reported in 1995 (76) ELT 241 (SC) in which it was held that for the purpose of levying excise duty the goods must be useable, and marketable. Phenol Formaldehyde an intermediate product produced by the manufacturers of laminated sheets for captive consumption is not marketable, and hence, not dutiable. He finally mentioned that the ratio of the Supreme C ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he penalty portion. Hence, no interference is called for. 9. Learned counsel for the appellant also drew our attention to the decision of the Hon ble Apex Court reported in (2006) 13 SCC 347 (Benara Valves Ltd. and others Vs. Commissioner of Central Excise and another), wherein the Hon ble Apex Court delineating the scope of jurisdiction of the Tribunal has held as follows: 8. It is true that on merely establishing a prima facie case, interim order of protection should not be passed. But if on a cursory glance it appears that the demand raised has no legs to stand, it would be undesirable to require the assessee to pay full or substantive part of the demand. Petitions for stay should not be disposed of in a routine manner unmindful o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... self, and the benefit which the applicant would derive from compliance with it. 14. The word undue adds something more than just hardship. It means an excessive hardship or a hardship greater than the circumstances warrant. 15. The other aspect relates to imposition of condition to safeguard the interests of the Revenue. This is an aspect which the Tribunal has to bring into focus. It is for the Tribunal to impose such conditions as are deemed proper to safeguard the interests of the Revenue. Therefore, the Tribunal while dealing with the application has to consider materials to be placed by the assessee relating to undue hardship and also to stipulate conditions as required to safeguard the interests of the Revenue. 10. He woul ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
