9911796707
TMI Blog1995 (3) TMI 103X X X X Extracts X X X X X X X X Extracts X X X X ..... pre-deposit for the appeal to be heard. Rest of the demand was, however, stayed. Petitioner is engaged in the manufacture of chassis for motor vehicles. It says when the chassis are cleared from its factory premises it pays duty under Heading 87.06 of the Central Excise Tariff whether the chassis sold to individual buyers or given to an independent body builder. In the present case, the body builder is Sutlej Coach Builders Pvt. Ltd. It is stated that M/s. Sutlej Coach Builders Pvt. Ltd. fabricates the body on the chassis and then clears the fully built vehicle on payment of excise duty under Heading 87.02 to the depot of the petitioner. It is thereafter that the petitioner effects sale of the fully built vehicle. Petitioner says that both ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r is a sick undertaking. In this view of the matter under Section 22 of the Sick Industries Act, 1985, the petitioner is not liable to pay the amount so long as it remains sick undertaking. Similar view has been taken by Calcutta High Court in 1992 (62) E.L.T. 290. Accordingly, the writ petition is allowed and the Tribunal is directed to hear the petitioner's appeal without any pre-deposit. With this order, this writ petition is disposed of. July 30, 1993. Sd/- Chief Justice Sd/- Judge." 3.Reliance has also been placed on a decision of the Calcutta High Court in Indian Jute and Industries Ltd. v. Collector of Central Excise (Appeals), 1992 (62) E.L.T. 290 (Cal.). In Rubber Reclaim Company Ltd. this Court merely s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t deposit of duty demanded would cause undue hardship to the appellant and then it might "dispense with such deposit subject to such conditions" as the appellate authority might deem fit to impose so as to safeguard the interest of the revenue. Section 22 of the SICA, in relevant part, is as under :- "22. Suspension of legal proceedings, contracts, etc. - (1) Where in respect of an industrial company, an inquiry under Section 16 is pending or any scheme referred to under Section 17 is under preparation or consideration or a sanctioned scheme is under implementation or where an appeal under Section 25 relating to an industrial company is pending, then, notwithstanding anything contained in the Companies Act, 1956 (1 of 1956) or any other ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ce is called from the Central Government a notice has to issue to the Central Government and there is a procedure prescribed as to how the matter is to be dealt with under the scheme under the SICA for rehabilitation of the sick industrial company. Chapter VII of the Board for Industrial and Financial Reconstruction Regulations, 1987, is also relevant which prescribes the procedure for sanctioning schemes under Section 19 of the SICA. Then there is Section 32 of SICA which says that the provisions of the SICA and of any rules or schemes made thereunder shall have effect notwithstanding anything inconsistent therewith contained in any other law except the provisions of the Foreign Exchange Regulation Act and the Urban Land (Ceiling and Regul ..... X X X X Extracts X X X X X X X X Extracts X X X X
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