NAVPAD TEXTILE INDUSTRIES LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) BY this petition, the petitioner has prayed for the following substantial relief:

(2.) THE petitioner company is a registered export oriented unit and is engaged in the manufacture of Dyed Polyester Filament Yarn. Pursuant to search carried out by the officers of the respondents, show cause notice came to be issued by the respondent No. 2 invoking larger period of limitation and seeking to recover Central Excise duty of Rs. 91,99,802/ - under Section 11(A)(1) of the Central Excise Act, 1944 (the Act) as also the interest and penalty thereon. The respondent No. 2 confirmed the demand of Rs. 91,99,802/ - under Section 11(A)(2) of the Act and imposed penalty of equal amount with applicable rate of interest. Being aggrieved, the petitioner filed an appeal under Section 35B of the Act along with an application under Section 35F of the Act seeking waiver of pre -deposit of the duty and penalty amount. Vide the impugned order dated 27th November, 2007 the Tribunal held as follows:

(3.) IT was submitted that the Tribunal has not even remotely considered the binding decisions that have a direct bearing on the issue of grant of waiver of pre -deposit amount. It was vehemently contended that the Tribunal has not addressed itself to the issue regarding the petitioner having been declared to be a sick industrial unit by the BIFR and has directed the petitioner to deposit Rs. 50 lakhs instead of granting full waiver of pre -deposit.