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Issues: Whether the predeposit condition warranted interference and whether the matter should be remanded for a decision on merits.
Analysis: The entire duty demand had already been paid and a further sum had been deposited towards the penalty. The lower appellate authority had dismissed the appeals for non-compliance with the predeposit direction without adjudicating the merits. In these circumstances, the predeposit already made was accepted as sufficient for the stay application, and the impugned order was set aside.
Conclusion: The matter was remanded to the Commissioner (Appeals) for fresh decision after granting a reasonable opportunity of hearing to the assessee.