PUNJAB LAMINATES PRIVATE LTD. Vs. CEGAT AND CCE

JUDGEMENT

(1.) AN application under Section 35 -F of the Central Excise Act, 1944 (in short the 'Act) filed before the Customs, Excise and Gold (Control) Appellate Tribunal, New Delhi (in short the 'Tribunal') seeking waiver of pre -deposit and stay of recovery of duty amounting to Rs. 36,37,338, pending disposal of the appeal, filed against the order of adjudication. The demand was raised on paper based decorative laminated sheets cleared during the period from 8th January 1993 to 31st March 1994, as a result of denial of Notification No. 135/89 -CE dated 12th May 1989. Though petitioner's stand is that the said notification did apply, Revenue decided otherwise. Placing reliance on an earlier decision by the Tribunal in the case of G.M. Laminates Private Limited v. CCE, Chandigarh , Tribunal did not accept the prayer for waiver of pre -deposit, but directed deposit of Rs. 10 lacs as duty, within a period of eight weeks from the date of the order i.e. 2nd November 1999. According to learned counsel for the petitioner, there was no misdeclaration. and thereforee, the extended period of limitation did not apply. Additionally, it is submitted that the petitioner was under a bona fide belief about the applicability of the notification in question, and thereforee, the demand is not tenable and the Tribunal's direction directing payment of Rs. 10 lacs cannot be maintained.

(2.) LEARNED Counsel for the respondent supported the order.

(3.) WE have perused the order of the Tribunal, wherein it has been observed that a prima facie case has not been made out on the ground of limitation as well as on merits, as regards applicability of the Notification No. 135/89 -CE, dated 12th May 1989. Considering the quantum directed to be deposited, it cannot be said to be unreasonable amount. We, thereforee, decline to interfere with the quantum fixed. However, the time for deposit is extended till 31 st of January 2001.