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2010 (11) TMI 974 - ITAT MUMBAIStay of realization of the total outstanding demand with interest - Jurisdiction of Tribunal to grant stay on realization of demand - assessment order has been framed which is in conformity with the directions of the Dispute Resolution Panel u/s 144C - HELD THAT:- As the assessment order has been framed which is in conformity with the directions of the Dispute Resolution Panel u/s 144C of the I T Act and therefore, the assessee has filed appeal before the Tribunal directly. The assessee in the instant case has also not moved any application before the Revenue authorities seeking stay of realization of the outstanding demand and has directly approached the Tribunal for stay of realization of the demand. From the various decisions filed, it is found that different views are available regarding the approach before the Tribunal directly for stay of realization of demand. In view of the decision of the Allahabad Bench of the Tribunal in the case of BROSWEL PHARMACEUTICAL INC. VERSUS INCOME TAX OFFICER. [2004 (1) TMI 295 - ITAT ALLAHABAD] it is not mandatory on the part of the assessee to move application before the Revenue Authorities for granting of stay of outstanding demand. There are no merit in the arguments advanced by the ld DR that the stay application should be rejected outright since the assessee has not moved any petition before the Revenue Authorities seeking stay of the demand. Thus, seeking stay before the lower authorities is directory and not mandatory. Thus, the assessee has a prima facie case. However, the assessee, in the instant case could not satisfactorily explain its financial hardship and the balance of convenience. The assessee is directed to deposit an amount of ₹ 1.50 crores before 31.12.2010 and the balance demand is stayed till the disposal of the appeal or for a period of six months from the date of this order whichever is earlier. Further, the request for early hearing is also granted subject to payment of the amount of 1.50 crores and the appeal is fixed for hearing on 13.1.2011. No fresh notice is required to be issued as the order itself is deemed to be service of notice of hearing to both sides. The Stay Application is partly allowed.
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