CHOKSI SILK MILLS Vs. UNION OF INDIA

JUDGEMENT

(1.) RULE. Mr. R. J. Oza, learned standing counsel for the Central Government waives service of Rule for the respondents.

(2.) IN this petition under Article 226 of the Constitution, the petitioners, i. e. Choksi Silk Mils and one of its partners, have challenged the orders dated 09. 08. 2007, 15. 10. 2007, 20. 11. 2007 and 27. 03. 2008 (Annexures A, B, C and H respectively) of the Customs, Excise and Service Tax Appellate Tribunal, Ahmedabad Bench in Appeal Nos. E/643 and 644 of 2007 and the stay applications made therein.

(3.) IN view of the order that we propose to pass, it is not necessary to set out the facts in detail. Respondent No. 3 passed an order-in-original confirming the demand of Cenvat credit of Rs. 93,64,004/- and also imposed penalty of an equal amount. The said order dated 30. 10. 2006 also demanded interest from petitioner No. 1 from the due date. Personal penalty was also imposed on petitioner No. 2. The petitioners challenged the said orders before the Tribunal and preferred stay applications. By order dated 09. 08. 2007, the Tribunal directed the petitioners to make pre-deposit of Rs. 40 lacs in addition to the payment of Rs. 4 lacs already made during the course of the investigation. For making such deposit, eight weeks time was granted. The modification applications made by the petitioners came to be rejected on 15. 10. 2007, but the time for making pre-deposit was extended and compliance was to be reported on 20. 11. 2007. The petitioners did not comply with the order of pre-deposit but, again, made an application for modification of that order. Again, while rejecting the modification application, the Tribunal granted further extension of two weeks and compliance was to be reported on 04. 12. 2007. In the writ petition, filed by the petitioners before this Court, by order dated 19. 12. 2007, the petitioners were directed to make the deposit of Rs. 40 lacs within three months and till then, the Tribunal was directed not to dismiss the appeals.