TOYOTA CONSTRUCTION PVT. LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule. Learned Mr. Gaurang H. Bhatt waives service of rule on behalf of respondent No. 1. The petitioner herein has challenged the order of pre-deposit passed by the Central Excise and Service Tax Appellate Tribunal ("the Tribunal" for short) dated 30-11-2011, where brief factual background would be necessary.

(2.) It is averred in the petition that the Audit Officer was of the opinion that the petitioner-company was paying service tax at the rate of 2% or 4% on the value of contract under the Works Contract Scheme, where it did not include the value of material supplied free of cost by the clients and, therefore, based on the Panchnama recorded as well as statements of various persons, show cause notice dated 20-4-2010 had been issued, which was replied to and the Commissioner, Central Excise confirmed total tax liability of Rs. 3,10,55,022/- along with penalties and interest. It is also averred in the petition that the company had deposited a sum of Rs. 37,90,754/- towards the service tax liability and Rs. 2,76,895/- towards interest.

(3.) The petitioner-company preferred an appeal with the stay application before the Tribunal. On the ground of urgency a request was made for an early hearing of the matter and such a request of early hearing was granted by the Tribunal vide its order dated 14-11-2011 whereby it directed the listing of the main matter along with the stay application for hearing on 30-11-2011, It is the say of the petitioner that since the close relatives of petitioner No. 2 suffered a severe heart attack, he had to rush to his native place. On account of certain complicated facts, his presence being inevitable, adjournment was sought on that day and such request of adjournment was rejected by the Tribunal, which passed the order on. merits directing the pre-deposit of sum of Rs. 1 crore in addition to the amount already deposited by the petitioner-company.