2005 (10) TMI 461 - AT - Customs

Interim Stay Granted on Bench Order pending High Court Decision

The Tribunal granted an interim stay on the operation of the Bench Order dated 9-6-2003 until the reference application before the Hon'ble Bombay High ... Interim stay of operation of tribunal order - power of tribunal to grant stay of its own order pending reference to the High Court - balance of convenience - deposit and entitlement to refund after final orderInterim stay of operation of tribunal order - balance of convenience - power of tribunal to grant stay of its own order pending reference to the High Court - Interim stay of operation of the Bench Order dated 9-6-2003 was to be granted until disposal of the reference application by the Hon'ble Bombay High Court. - HELD THAT: - The Tribunal considered submissions from both parties and authorities cited regarding the Tribunal's jurisdiction to stay its own orders pending reference to the High Court. The Department argued for stay until the reference is decided, relying on precedent that Tribunals possess power to grant such a stay. The respondent contended that the case was not fit for stay and relied on deposition of the impugned amount and entitlement to refund after final adjudication. Weighing these contentions and the relevant case records, the Tribunal found that the balance of convenience favoured granting an interim stay of the operation of the Bench Order dated 9-6-2003 until the Hon'ble Bombay High Court disposes of the reference application against that order. [Paras 4]Interim stay of operation of the Bench Order dated 9-6-2003 granted until disposal of the reference application by the Hon'ble Bombay High Court.Final Conclusion: The Tribunal allowed the Revenue's stay application and ordered an interim stay of the Bench Order dated 9-6-2003 till the reference before the Hon'ble Bombay High Court is disposed of. Issues:Stay application against Bench Order dated 9-6-2003 pending reference application before Hon'ble Bombay High Court.The judgment involves a dispute regarding the grant of stay against a Bench Order dated 9-6-2003 until the reference application before the Hon'ble Bombay High Court is decided. The Department argued that the stay application is necessary until the reference application is resolved, citing the Supreme Court's decision in Commissioner of Income Tax v. Bansi Dhar and Sons, which affirmed Tribunals' power to grant stay pending reference. The Department also referred to a previous case where the Tribunal had exercised such power. On the other hand, the Respondent contended that the case did not warrant a stay, highlighting that the impugned amount had been deposited as per the Supreme Court's direction and that they were entitled to a refund post the Tribunal's final order.After considering the arguments from both sides and reviewing the case records, including orders from the Hon'ble High Court of Bombay and the Hon'ble Supreme Court, the Tribunal concluded that the balance of convenience favored granting an interim stay on the operation of the Bench Order dated 9-6-2003 until the reference application before the Hon'ble Bombay High Court is disposed of. The Tribunal's decision was based on ensuring fairness and maintaining the status quo until the higher court's decision is made. The order for granting interim stay was pronounced in court on 18-10-2005.