Clandestine removal evidence from factory slips justified pre-deposit and limited stay relief in the interim stage.

In a matter concerning alleged clandestine removal, the Tribunal treated loose slips recovered from the factory premises as prima facie evidence and held that it was immaterial which department had taken possession of them. On the interim application for waiver of pre-deposit and stay of recovery, it found no apparent illegality in the impugned order on the material before it. The appellants were directed to pre-deposit Rs. 5 lakhs within one week, with waiver of the balance duty and stay of recovery on compliance, failing which the appeal would stand dismissed.

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Issues: Whether the appellants were entitled to waiver of pre-deposit and stay of recovery in a matter involving alleged clandestine removal of goods.

Analysis: The Tribunal found, at the interim stage, that loose slips recovered from the factory premises constituted prima facie evidence of clandestine removal. It held that it was immaterial which department had taken possession of the slips, and that the material on record did not disclose any apparent illegality in the impugned order for the purpose of considering waiver.

Outcome: The appellants were directed to pre-deposit Rs. 5 lakhs within one week, with waiver of the balance duty and stay of recovery on compliance, failing which the appeal would stand dismissed under Section 35F.

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