2008 (7) TMI 686 - AT - Customs

CESTAT Chennai: Stay Order Compliance & Modification in Appeal Nos. C/23 & 87/2008

The Appellate Tribunal CESTAT, CHENNAI addressed compliance with stay orders and modification of stay orders for waiver of pre-deposit and stay of ... Stay/Dispensation of pre-deposit - Penalty Issues: Compliance with stay orders, modification of stay orders for waiver of pre-deposit and stay of recovery, applicability of extended period of limitation for recovery of duty.The judgment by the Appellate Tribunal CESTAT, CHENNAI involved multiple issues. Firstly, the matter concerned compliance with stay orders. The appellants in certain appeal cases had obtained a stay from the High Court regarding the operation of the Tribunal's Stay Order dated 30-4-2008 for varying durations. The counsel for the appellants confirmed this, leading to the matters being scheduled for compliance report on 13-10-2008.Secondly, the judgment addressed the modification of stay orders for waiver of pre-deposit and stay of recovery in Appeal Nos. C/23 & 87/2008. In Appeal No. C/23/2008, the appellants had paid the entire duty amount with interest after the impugned order, supported by TR6 Challans, resulting in the waiver of pre-deposit and stay of recovery for the penalty imposed. In Appeal No. C/87/2008, the appellants argued that the duty amount paid during investigations exceeded the penalty imposed by the Commissioner. The Tribunal, after considering the prima facie view, decided that the extended period of limitation did not apply for duty recovery from the appellants, allowing the penalty amount to be treated as pre-deposited due to the time-bar issue.The judgment concluded with the modification of the stay orders in both Appeal Nos. C/23 & 87/2008 to reflect the waivers and adjustments based on the payments made and the applicability of the time-bar issue. The decision was pronounced in open court, highlighting the Tribunal's careful consideration of the facts and legal aspects presented before rendering its decision.