2005 (6) TMI 410 - AT - Central Excise

Summary

Issues:
Grant of full waiver of pre-deposit amount and stay its recovery under Section 35F of the Central Excise Act, 1944.

Analysis:
The appeal was filed against an Order confirming duty, penalty, and interest imposed by the Commissioner of Central Excise & Customs. The appellants claimed a strong prima facie case and balance of convenience, stating they had already deposited the duty amount and requested dispensation of further pre-deposit amounts. The case involved clearances from 1-7-2000 onwards, where 'transaction value' was considered the assessable value under the new Section 4 of the Central Excise Act, 1944. Each removal was treated as a separate transaction, including clearance for captive consumption, which required valuation based on the cost of production as per Valuation Rules, 2000. The impugned order observed that the value of goods captively consumed should be 115% of the cost of production.

The Tribunal, after considering the arguments and observations, found a prima facie case in favor of the appellants. Consequently, the Tribunal granted full waiver of the pre-deposit amount and stayed its recovery pending the disposal of the appeals. The decision was made in accordance with the provisions of Section 35F of the Central Excise Act, 1944. The applications for waiver and stay were disposed of accordingly, providing relief to the appellants.