Pre-deposit waiver in valuation dispute limited where related-person allegation and higher private-party price supported the assessable value.

In a dispute over valuation of molasses on the basis that the appellant and the Federation were related persons, the Tribunal found no prima facie case for complete waiver of pre-deposit because the assessable value had been taken from sales to private parties at a higher price. It therefore granted only a partial waiver and directed deposit of Rs. 1,40,000 towards duty, while staying the balance duty and penalty on compliance.

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Issues: Whether the appellants had made out a prima facie case for complete waiver of pre-deposit in a dispute concerning valuation of molasses on the basis that the appellant and the Federation were related persons.

Analysis: The Tribunal noted the allegation that the appellant and the Federation were related persons and that the assessable value had been adopted on the basis of sales to private parties at a higher price. On that basis, it held that no prima facie case for total waiver was made out.

Outcome: Partial waiver of pre-deposit was granted and the appellants were directed to deposit Rs. 1,40,000 towards duty, with the balance duty and penalty stayed on compliance.

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