Prima facie classification case justifies waiver of pre-deposit and stay of recovery pending appeal.

In a tariff classification dispute concerning multigrain bread concentrate, the tribunal found a prima facie case that the product was closer to a flour preparation used by the bakery industry than to the disputed food preparation heading. On that basis, it held that insistence on pre-deposit was not justified at the interim stage and granted waiver of pre-deposit. Recovery of the adjudged dues was also stayed pending disposal of the appeal, leaving the classification question to be decided in the main proceedings.

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Issues: Whether the appellant was entitled to waiver of pre-deposit and stay of recovery pending appeal in a classification dispute concerning Multigrain Bread Concentrate.

Analysis: The product was described as a mixed cereal preparation with additives used by the bakery industry. On a prima facie view, the product appeared to be more in the nature of a flour preparation than a food preparation falling under the disputed tariff heading. In light of this prima facie case, the demand did not warrant insistence on pre-deposit at the interim stage.

Conclusion: Waiver of pre-deposit was granted and recovery of the adjudged dues was stayed during the pendency of the appeal.

Final Conclusion: Interim relief was allowed in the appellant's favour, and the matter was left to be decided in the main appeal.

Ratio Decidendi: Where the appellant establishes a prima facie case in a tariff classification dispute, interim waiver of pre-deposit and stay of recovery may be granted pending disposal of the appeal.

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