AUSTIN CIRCUITS LTD Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) WHEN the petition praying for waiving the condition of pre -deposit of the amount under Section 35F of the Central Excise Act came up, I heard the Learned Counsel representing the appellant and the Learned Departmental Representative. Since the appellate authority disposed of the appeal on the ground of non -compliance with pre -deposit under Section 35F of the Act, I examined the order passed by the appellate authority to see whether application to waive pre -deposit was properly considered by that authority.

(2.) BY order, dated 21 -9 -1999 Commissioner (Appeals) directed the appellant to deposit the entire amount within three weeks therefrom. On getting that order appellant moved appellate authority for dispensing with pre -deposit highlighting financial difficulties. Thereupon the appellant was informed by letter, dated 20 -10 -1999 that earlier order has been modified by requiring the appellant to deposit 40% of the amount demanded. On such deposit, it was intimated that pre -deposit of the remaining penalty would stand waived during the pendency of the appeal. Instead of complying with that order, the appellant again moved the Commissioner to waive the condition of pre -deposit. Commissioner disposed of the appeal by his Order -in -Appeal No. 1385 -CE/BPL/99, dated 15 -11 -1999 on the ground of non -compliance with the provisions of Section 35F of the Act. Appellate authority did not pronounce on the merits of the contention.

(3.) CIRCUMSTANCES highlighted do not warrant complete waiver of pre -deposit. On the facts and circumstances of the case, taking into consideration the financial condition of the appellant, I direct the appellant to deposit a sum of Rs. 20,000/ - within six weeks from today. If the deposit is made within the said period and the fact is intimated to the Commissioner, he will take back the appeal filed by the appellant, hear him on merits and pass appropriate orders on merits of the appeal after affording him reasonable opportunity of being heard in the matter. In case the deposit is not made, as stated above, this appeal will stand dismissed and the Order -in -Appeal passed by the Commissioner will stand confirmed.