2014 (10) TMI 595

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....or the Respondent. ORDER 1. In this writ petition, the petitioner has questioned the Order dated 30.01.2014 (Annex. 1), as passed by the Commissioner (Appeals-II), Customs & Central Excise, Jaipur on its prayer for stay over recovery proceedings during pendency of the appeal against the Order-in-Original No.134/ST/JP-II/2011 dated 11.11.2011, as passed by the Joint Commissioner, Central Exci....

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.... Division ('SOBM'). In Textile Division, three units were engaged in multi level marketing of various types of goods. It was observed that SOBM were making payment of commission to their distributors after deduction of renewal fees and card charges; and the amount so deducted was taken as liable to service tax w.e.f. 2005-06 under the category of "Business Support Service". The Joint Commi....

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.... that the petitioner has strong prima facie case to maintain that the activity in question does not attract the levy of service tax. It is submitted that if the petitioner is forced to part with the substantial amount against the demand in question, it would be causing the petitioner undue hardship. 5. The learned counsel for the respondents, on the other hand, has duly supported the order impu....

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....y of the circumstances, it appears just and proper that the petitioner be allowed an opportunity of merit-hearing of the appeal without being forced to deposit an amount equal to the principal demand of duty in question. 8. Of course, where the matter would require proper adjudication after hearing the parties and otherwise, pre-deposit remains a statutory requirement, subject to modification a....