Pre-deposit waiver and stay of recovery denied where duty liability was undisputed and no prima facie case was shown.

Waiver of pre-deposit was refused where the duty liability was undisputed and no prima facie case was shown in favour of the appellants. The claim of financial hardship was held insufficient to justify stay of recovery, particularly because Government dues have priority. The request that recovery should first proceed by sale of machinery was also declined in a stay matter under the pre-deposit provision. The appellants were directed to deposit the entire duty amount within the stipulated time, while waiver of penalty and stay of recovery would operate only upon compliance.

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Issues: Whether waiver of pre-deposit of the confirmed duty and stay of recovery should be granted, and whether the Department could be directed to recover the dues by sale of machinery under the recovery provisions.

Analysis: The duty liability was not disputed. The plea that recovery ought first to be made by sale of machinery was declined in a stay matter under the pre-deposit provision. The claim of financial hardship was not accepted as sufficient to justify waiver, particularly when Government dues have priority and no prima facie case was shown in favour of the appellants.

Outcome: Waiver of pre-deposit of the duty amount was refused. The appellants were directed to deposit the entire duty amount within the stipulated time, with waiver of penalty and stay of recovery to operate only upon compliance.

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