Stay-stage jurisdiction and limitation challenges rejected prima facie; conditional pre-deposit granted with balance waiver on compliance.

Jurisdiction objections against a demand were not accepted at the stay stage on a prima facie review, and the limitation plea was also held unsuitable for determination at that stage because the alleged non-declaration was detected by audit. On the request for interim protection, the tribunal granted only conditional relief: one matter involved an EPCG licence and part-payment of differential duty, while the other lacked production of the licence, so complete waiver was declined. Pre-deposit was required to the extent directed, with waiver of the balance and stay of recovery on compliance, leaving the merits open for final adjudication.

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Issues: (i) whether the jurisdiction objection against the demand was sustainable at the stay stage; (ii) whether the plea of limitation could be accepted at the stay stage; (iii) whether the applicants had made out a case for waiver of pre-deposit and stay of recovery.

Issue (i): whether the jurisdiction objection against the demand was sustainable at the stay stage.

Analysis: The jurisdiction objection was examined only on a prima facie basis. The authority relied on the applicable Board circular and found that the objection could not be accepted at this stage.

Conclusion: The jurisdiction objection was held not sustainable prima facie.

Issue (ii): whether the plea of limitation could be accepted at the stay stage.

Analysis: The non-declaration of machinery was detected by audit, and on that basis the limitation question was considered unsuitable for determination at the stay stage.

Conclusion: The plea of limitation was not accepted at the stay stage.

Issue (iii): whether the applicants had made out a case for waiver of pre-deposit and stay of recovery.

Analysis: For one appeal, the EPCG licence was shown to have been obtained and part of the differential duty had already been paid. For the other appeal, the EPCG licence was not produced, and a complete waiver was declined. Balancing these factors, conditional pre-deposit was ordered with waiver of the balance and stay of recovery on compliance.

Conclusion: Conditional waiver of the balance pre-deposit and stay of recovery were granted on deposit of the amounts directed.

Final Conclusion: The applications were allowed only to the extent of granting conditional interim relief, while the merits of the appeals remained open for final adjudication.

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