ST - While remanding matter, Tribunal can impose condition of pre-deposit - But such power has to be exercised only in judicious manner and not in an arbitrary manner - Order of Tribunal directing pre-deposit set aside: High Court

The provision for making pre deposit is/ was a condition precedent to an appeal being heard on merits, subject to appellate authorities' discretionary powers to waive such pre deposit either in full or in part with such conditions as they may think fit to safeguard the revenue's interest. Once ,in the opinion of an appellate authority ,the impugned order is liable to be set aside for whatever reasons, and the matter remanded for de-novo adjudication, direction for pre deposit at this stage ,with great respect, wouldn't be in accordance with the law. It is a settled point that filing of an appeal is not a vested right, but one created under a statute which can prescribe conditions for filing appeals. Once an appeal has been entertained and order passed remanding for de-novo decision, the law does not envisage pre-deposit at this stage. A related issue that arises is : what happens if the appellant do not comply with such an order. As the order appealed against has been set aside, the same can,nt be enforced either . Can an adjudicating authority still proceed with the de novo adjudication ? This will create a piquant situation. A final word from the apex court on such important question of law is called for soon. S K CHOUDHURY, Former MEMBER, CBEC

Komala Choudhury 30/04/2015