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2015 (2) TMI 229 - HC - Central ExciseWaiver of pre deposit - Undue hardship - Held that:- A perusal of the balance-sheets, would show that the Company is running into losses and it does not have any free reserves and surplus. The losses have not eroded the net worth but that the losses are substantial, which will not enable the Company to make pre-deposit of 25% of the assessed duty demand. - counsel appearing for the appellant contends that the Finance Act, 2014 has omitted Section 35C of the Central Excise Act, for pre-deposit, and that now the pre-deposit with effect from 01.10.2014, has been confined to 7.5% of the demand in case of an appeal, and 10% of the demand in case of second appeal, to make the remedy of appeal effective and to avoid the CESTAT to spend most of its time only in deciding matters of pre-deposit. - In the meantime, in case the appellant deposits 10% of the demand, excluding the demand of penalty, within a period of sixty days from today, after adjusting the amount of ₹ 5 lakh, which has been deposited, the recovery of the remaining amount shall remain stayed. - Decided conditionally in favour of assessee.
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