Court reduces deposit amount for appeal hearing, considers petitioner's financial hardship

The High Court modified the tribunal's order, directing the petitioner to deposit Rs.2.5 crores by April 2011 for the appeal hearing, instead of the initial Rs.4 crores. The court emphasized that the financial hardship of the petitioner should be considered alongside the merits of the case. The appeal would proceed once the deposit was made, and if dismissed earlier, it would be reconsidered on its merits. The court disposed of the writ petition without awarding costs.

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Issues:
Petitioner seeking quashing of tribunal's order directing deposit of Rs.4 crores for appeal hearing.

Analysis:
The petitioner approached the High Court seeking a writ of certiorari to challenge the tribunal's order dated 1st November, 2010, which required the petitioner to deposit Rs.4 crores as a condition for hearing the appeal. The petitioner's counsel argued that the tribunal erred in not waiving the entire amount and misinterpreted the concept of handicap, contending that financial hardship should be considered along with the merits of the case. On the other hand, the Revenue Department's counsel pointed out that the total demand, including penalties, exceeded Rs.10 crores, justifying the tribunal's directive for the deposit. After hearing both parties, the court opined that justice would be served if the petitioner deposited Rs.2.5 crores by the end of April, 2011. The court directed that upon such deposit, the tribunal should proceed with the appeal hearing. Additionally, if the appeal had been dismissed before the deposit was made, it would be revived for consideration on its merits. The High Court disposed of the writ petition with this modified order, emphasizing that no costs were to be awarded in the matter.

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