Statutory appellate remedy cannot be defeated by premature tax recovery while the appeal period remains open.

Coercive tax recovery should not be pursued while the statutory appeal period remains open and the assessee has indicated an intention to file the appeal with a stay application. The appellate remedy must not be rendered illusory by recovery action taken before expiry of the permissible filing period, especially where the statute contemplates pre-deposit for that appeal. If no appeal is filed within time, the Department's right to recover dues revives. Recovery was therefore restrained for the period during which the appeal could still be validly filed.

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Issues: Whether coercive recovery of tax dues could be pursued while the statutory appeal period remained open and the petitioner intended to avail the appellate remedy.

Analysis: The available statutory appellate remedy could not be rendered illusory by initiating recovery before the appeal period expired. The petitioner had stated that an appeal with stay application would be filed within the permitted period. Since the statute contemplated a pre-deposit for such an appeal, recovery ought not to be resorted to in the meantime. At the same time, the Department's right to recover dues would revive if no appeal was filed within the permitted time.

Conclusion: Coercive recovery was restrained for the period during which the petitioner was entitled to and intended to file the appeal, and the petition was disposed of on that basis.

Ratio Decidendi: Where a statutory appeal is available and is proposed to be filed within the permissible period, recovery should not be undertaken in a manner that defeats the appellate remedy before that period expires.

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