Pre-deposit waiver and stay of recovery granted where prior rulings supported credit eligibility on disputed inputs and capital goods.

A prima facie case justified waiver of pre-deposit and stay of recovery pending appeal where the disputed credit claims were supported by earlier tribunal decisions. Technical objections such as non-authentication of invoices and failure to mark duplicate copies were not treated as decisive, and prior rulings had recognised eligibility of credit on similar items, including aluminium cops, kemwater and air compressors as capital goods. On that basis, the duty and penalty pre-deposit requirement was dispensed with and recovery stayed until disposal of the appeals.

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Issues: Whether, in the light of the material placed before it, waiver of pre-deposit and stay of recovery could be granted pending disposal of the appeals.

Analysis: The claims denied on the ground of non-authentication of invoices, non-marking of duplicate copies, and similar technical objections were supported by earlier decisions recognising eligibility of credit on the same or similar items. Credit on aluminium cops and kemwater had also been treated as admissible in prior decisions, and the question of air compressors as eligible capital goods was likewise supported by tribunal precedent. On that basis, a prima facie case was made out for interference with the pre-deposit requirement.

Outcome: The requirement of pre-deposit of duty and penalty was dispensed with and recovery was stayed pending the appeals.

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