2024 (2) TMI 600 - SCH - GST

Pre-deposit conditions for releasing detained goods: partial cash deposit plus bank guarantee allowed; earlier direction modified on appeal

The dominant issue was whether the HC's direction on pre-deposit as a condition for release of detained goods was excessive and required modification. The ... Quantum of pre-deposit amount directed to be deposited - HELD THAT:- Reliance placed in [2023 (8) TMI 1431 - PUNJAB AND HARYANA HIGH COURT] by the very same Bench of the High Court, wherein a direction was issued to the petitioner therein to deposit 25% of the total amount by way of cash and for the remaining amount the petitioner could furnishing a personal/surety bond and on that basis a direction for release of the goods. The appeal is allowed and disposed of by modifying the direction to give surety by way of Bank Guarantee with furnishing of personal/surety bond in respect of the outstanding amount after deposit of Rs. 4,00,000/- in cash, which is stated to have been deposited by the appellant, within a week from today before the concerned Department. Issues involved: Modification of direction in a legal order regarding payment terms for release of goods.Summary:The Supreme Court granted leave to the appellant as the respondent did not appear despite being served notice for the third time. The appellant's counsel highlighted a previous order from the High Court directing payment terms for release of goods, suggesting a similar order in this case. The Court agreed with the appellant's submission and modified the direction. The appellant was directed to pay Rs. 4,00,000/- in cash and provide a Bank Guarantee for the remaining outstanding amount of Rs. 19,42,692/-. Upon compliance, the appellant was given liberty to seek further remedies before the High Court. Pending applications were disposed of.