Pre-deposit waiver and conditional release of imported goods granted against bond, cash deposit, and stay of penalty recovery.

Waiver of pre-deposit of penalty was sought alongside release of imported goods on security and partial cash deposit. The applications were disposed of by requiring the applicants to furnish a bond and deposit Rs. 5 lakhs in cash before obtaining clearance of the goods, while pre-deposit of the partner's penalty was waived and recovery was stayed pending the appeals. The operative effect was conditional release of the goods against security and limited cash payment, with interim protection from penalty recovery during the appeal process.

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Issues: Whether waiver of pre-deposit of penalty was warranted and whether release of the imported goods could be permitted on security and partial cash deposit.

Outcome: The applications were disposed of by directing the applicants to furnish a bond, deposit Rs. 5 lakhs in cash, obtain clearance of the goods on compliance, and securing waiver of pre-deposit of the partner's penalty with recovery stayed during pendency of the appeals.

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