In the present case (reported in 2007 -TMI - 1637 - CESTAT, CHENNAI - Service Tax) the assessee is the manufacturers of oxygen and nitrogen (both in gaseous and liquid forms). These chemicals are cleared from factory in cryogenic tankers. The appellants are possessed of such tankers which, when not required for their purpose, are leased out to other parties.

Honorable tribunal after considering the facts and circumstances, has found that Apparently this activity is not covered under "Banking and Financial Services" and granting stay or recovery pre-deposit of demand.

Leasing of tankers not treated as banking and financial service, affecting service tax classification and recovery measures. Leasing of cryogenic tankers by a manufacturer for hire is a commercial equipment-leasing activity ancillary to manufacture and distribution and does not fall within Banking and Financial Services for service tax classification; the tribunal so concluded and accordingly considered interim measures on recovery and pre-deposit of the disputed demand.