Tribunal extends stay despite law change, citing inherent power. Fairness upheld for appellants.

The Tribunal affirmed its authority to grant an extension of stay despite the abolition of Section 35C(2A) of the Central Excise Act, 1944. Emphasizing its inherent power recognized by the Supreme Court, the Tribunal extended the stay granted earlier, noting that delays in appeals were not the appellants' fault. The Tribunal held that the abolition of the section did not affect its power to grant stay, ensuring fairness and justice by allowing the stay to operate during the pendency of the appeals.

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Issues:
Extension of stay granted by the Tribunal under Section 35C(2A) of the Central Excise Act, 1944.

Analysis:
The appellant filed a Miscellaneous Application seeking an extension of the stay granted by the Tribunal earlier due to the Revenue's insistence on recovery despite the Stay Order. The Departmental Representative argued that Section 35C(2A) of the Central Excise Act, 1944 had been abolished, thus eliminating the Tribunal's power to grant an extension of stay. However, the Tribunal noted that the power to grant stay is inherent and has been recognized by the Hon'ble Supreme Court. The Tribunal cited previous judgments to support the inherent power of the Tribunal to grant stay, emphasizing that even with the abolition of Section 35C(2A), the Tribunal's power to grant stay remains intact.

The Tribunal highlighted that the abolition of Section 35C(2A) did not affect the Tribunal's power to grant stay but removed restrictions on the duration for which stay could be granted. Even before the abolition of the section, the Tribunal had the authority to extend stay beyond the specified period if necessary. Citing a previous case, the Tribunal emphasized that delays in appeals were not the appellants' fault, and as such, the stay granted earlier should be extended to operate during the pendency of the appeals. The Tribunal rejected the Departmental Representative's contention and upheld the extension of stay granted earlier, ensuring fairness and justice in the proceedings.

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