1993 (8) TMI 173

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....als Ltd. Rs. 39,93,504.32 Rs. 20,00,000 Shri S.V. Ratnam,  Managing Director - Rs. 2,00,000 Shri Sunkavalli  Sithapathi, Resident Director. - Rs. 1,00,000 2. After hearing both the sides at length/ the operative portion of the order was announced in the open court with detailed order to follow. 3. The learned Advocate for the applicants pleaded that the applicants' company has been held by the learned lower authority to have wrongly availed of the benefit of Notification 138/86 as amended inasmuch as the applicants misdeclared the quantum of the Bagasse used in the manufacture of paper for the purpose of availing the benefit of the said notification. He pleaded that the Departmental authoriti....

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....ot bring the same on record to show as to how the explanation tendered explained the charges as above. Pleading on financial hardship, the learned Advocate stated that the applicants' company is in the process of rehabilitation by B.I.F.R. and the same has been declared as a sick unit. He pleaded inasmuch as the unit has been declared sick the company could not be called upon to pre-deposit any amount as the financial hardship could be inferred from the fact that the company has been declared as a sick unit by B.I.F.R. When the matter came up earlier, the learned Advocate was informed that as per the records there were outstandings towards sundry debtors to the tune of about Rs. 2 crores and he was asked to furnish the details. He filed a l....

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....inancial position was also not sound and pleaded for waiver of the pre-deposit of penalty. 4. After the announcement of the operative portion of the order the learned Advocate came forward to state that they will be willing to make a pre-deposit of Rs. 5,00,000 and prayed for hearing of the appeals on pre-deposit of this amount. 5. The learned Senior Departmental Representative had no specific information in regard to the financial position of the applicants. He, however, pleaded that in terms of Section 35F the applicants should be called upon to make some pre-deposit. 6. We observe that the proceedings were drawn against the applicants based on documentary evidence recovered from the applicants' premises. Discrepancies were notic....