Pre-deposit ordered by Tribunal challenged in Writ - Tribunal did not deal with specific contention of petitioner with regard to non-establishment of wilful representation - However, HC refrained from interfering with direction of Tribunal to pre-deposit Rs 20 lakhs since it appears reasonable
By TIOL News Service
ERNAKULAM, MAY 09, 2015: CONDITIONAL order of stay to pre-deposit Rs 20 lakhs out of 61.20 lakhs was passed by the Tribunal in appeal by the Petitioner. Petitioner challenged the stay order in the High Court. The main ground of challenge is that the petitioner raised the contention regarding extended period of limitation which was not considered by the Tribunal. Tribunal did not consider the decision of the Supreme Court in Uniworth Textiles Ltd - 2013-TIOL-13-SC-CUS on suppression.
High Court held that observations made by the Tribunal in the stay order with regard to suppression/wilful self presentation against the petitioner are not borne out by anything on record. The High Court further found that there is no express finding on the existence of suppression /wilful misrepresentation in the Order passed by the Commissioner to justify invocation of larger paid of limitation. The High Court held that the Tribunal, while dealing with the contention of the petitioner on limitation, ought to have dealt with the specific contention of the Petitioner with regard to the non-establishment of suppression/wilful misrepresentation by the Commissioner.
However, High Court refrained from interfering with the directions of the Tribunal on pre-deposit. High Court held that the condition of pre-deposit of Rs. 20 lakhs as against demand of Rs 61.20 lakhs appears to be reasonable and extended the time for payment of the amount.
(See 2015-TIOL-1196-HC-KERALA-ST)
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