P J BALANI Vs. UNION OF INDIA

JUDGEMENT

(1.) RULE, returnable forthwith. Shri Siodia, learned counsel for the respondents waives service. By consent petition called out for hearing. Heard counsel. The petitioner preferred appeal before the Customs, Excise and Gold (Control) Appellate tribunal to challenge the order dated March 31, 1992 passed by the Collector of Customs imposing a penalty of Rs. 25,00,000/ -. The petitioner filed an application for dispensing condition of pre-deposit of the penalty amount. The petitioner claimed that his financial condition was not sound. The Tribunal directed deposit of Rs. 10,00,000/- by order dated november 20, 1992. The deposit was not made and notice was issued to the petitioner to show-cause why appeal should not be dismissed.

(2.) THE petitioner preferred writ petition under Article 226 of the Constitution in this Court and by order dated June 7, 1993 passed in writ petition No. 951 of 1993, the petitioner was directed to furnish bank guarantee of Rs. 10,00,000/- instead of deposit of the said amount. The petitioner again failed to furnish bank guarantee within the stipulated period. The result of the failure of the petitioner to furnish bank guarantee led to passing of the impugned order dated October 24, 1994 by the Tribunal dismissing the appeal for non-deposit of penalty. The order of the Tribunal has given rise to the present petition.

(3.) SHRI Vasudeo, learned counsel appearing on behalf of the petitioner, tried to give some excuses for non-deposit. The excuse do not impress us and we made it clear to the learned counsel that unless the petitioner brings Rs. 25,00,000/- by bank drafts drawn in favour of the collector of Customs, we will not entertain the petition. Today, Shri Vasudeo has handed over four drafts of total value of Rs. 25,00,000/- drawn in favour of the Collector of Customs. In view of tendering of the entire amount by way of bank drafts and which the Collector is at liberty to encash, we propose to set aside the impugned order and given an opportunity to the petitioner to agitate his appeal on merits. In case the appeal succeeds, then the Collector shall refund the amount.