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TMI Blog2006 (11) TMI 6X X X X Extracts X X X X X X X X Extracts X X X X ..... e writ petitions filed by the appellants who had filed the writ petitions questioning correctness of the order passed by the Customs Excise and Service Tax Appellate Tribunal, New Delhi (in short the 'Tribunal') dealing with the applications filed for staying recovery of duty and penalty imposed pending disposal of the appeals before the Tribunal. Allegations against the appellants were to the effect that they were removing excisable goods clandestinely without payment of duty and without raising Central Excise invoices/bills under the guise of estimates/ rough estimates to their front trading firms which they called 'houses' and consequently to the ultimate customer. Searches were conducted at the premises of manufacturing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he other applicants are directed to pre-deposit twenty- five percent of the penalties imposed on them". 4. Questioning correctness of the order passed by the tribunal, writ petitions were filed. By the impugned orders, the High Court directed extension of time to comply with the Tribunal's order. However, the prayer for dispensation of deposit was rejected. 5. Learned counsel for the appellants submitted that demands raised will not stand the test of appeal as correct legal and factual position were not kept in view while adjudicating the issues. Mr. B. Dutta, learned Additional Solicitor General for the respondents submitted that demands have been raised after detection of large scale manipulations and evasions and no relief should b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ined on the touchstone of fairness, legality and public interest. Where denial of interim relief may lead to public mischief, grave irreparable private injury or shake a citizens' faith in the impartiality of public administration, interim relief can be given. 9 it has become an unfortunate trend to casually dispose of stay applications by referring to decisions in siliguri Municipality Dunlop India cases (supra) without analyzing factual scenario involved in a particular case 10. Section 35-f of the act reads as flollows: "35F. Deposit, pending appeal, of duty demanded or penalty levied.- Where in any appeal under this Chapter, the decision or order appealed against relates to any duty demanded in respect of goods which are n ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... licant for waiver and has to be established by him. A mere assertion about undue hardship would not be sufficient. It was noted by this Court in S. Vasudeva v. State of Karnataka and Ors. (AIR 1994 SC 923) that under Indian conditions expression "Undue hardship" is normally related to economic hardship. "Undue" which means something which is not merited by the conduct of the claimant, or is very much disproportionate to it. Undue hardship is caused when the hardship is not warranted by the circumstances. 13. For a hardship to be 'undue' it must be shown that the particular bur den to have to observe or perform the requirement is out of proportion to the nature of the requirement itself, and the benefit which the applicant would der ..... X X X X Extracts X X X X X X X X Extracts X X X X
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