Stay and waiver of duty demand allowed where departmental verification covered the full demand and prior Tribunal orders supported relief.

In stay proceedings on a duty demand against CTD bars, the Tribunal treated departmental verification covering the full demand as sufficient basis for interim protection. Following earlier identical orders in similar matters, it granted waiver of the duty demand at the stay stage and allowed stay in favour of the assessee. The discussion also noted that Modvat eligibility of the inputs had been verified and that the exemption issue under Notification No. 202/88 was not decided finally at this stage. The matter was then posted for further hearing along with connected cases.

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Issues: Whether stay and waiver of the duty demand on CTD bars should be granted in view of the Departmental verification covering the amount of duty demanded and the Tribunal's earlier approach in similar matters.

Analysis: The Tribunal noted that in earlier stay applications involving similar facts, stay had been granted where the Modvat eligibility of the inputs used in manufacture was verified and the verification report covered the full amount of duty demanded. It followed its prior identical orders and treated the Departmental verification as sufficient to justify interim protection. The goods were also stated to be claimed as ineligible for exemption under Notification No. 202/88, but the immediate question was confined to waiver of the duty demand at the stay stage.

Conclusion: Stay of the duty demand was granted in favour of the assessee.

Final Conclusion: Interim relief was allowed on the basis of prior Tribunal practice and verification of the duty amount, and the matter was posted for further hearing along with connected cases.

Ratio Decidendi: In stay proceedings involving duty demand, where departmental verification covers the full amount demanded and prior identical orders support the same approach, interim waiver may be granted.

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