Girish Circular Looms vs CEGAT

Kanakaraj, J.—By consent, the writ petition itself is taken up for final disposal today.

The writ petition is directed against an order of the Tribunal, dated 20-9-1993, directing the petitioner to make a pre-deposit of rupees sixteen

lakhs for considering his appeal directed against the order of the Collector of Central Excise, Bangalore, dated 3-5-1993, imposing a duty of Rs.

32,63,482.92, a redemption fine of Rs. 10,000/- and penalty to the tune of Rupees one lakh. According to the petitioner, the goods were

manufactured out of indigenous and imported components and they were sent in S.K.D. condition to the place where the erection is to take place.

One of the contention raised by the learned counsel for the petitioner is that the manufacture is completed only at the place of erection. Secondly, it

is pointed out that the Tribunal had not taken note of the financial position of the petitioner company before directing deposit of rupee sixteen lakhs.

Having heard the learned counsel for the respondents, I am satisfied that the Tribunal did not go into the question of the financial aspect of the

petitioner company. In view of the above circumstances, I am inclined to pass the following order :

Instead of the direction to deposit rupees sixteen lakhs, there will be a direction to deposit rupees eight lakhs within eight weeks from today.

For the balance of rupees eight lakhs, the petitioner is directed to furnish either Bank guarantee or security of unencumbered immovable

property within eight weeks from today.

The Writ Petition is allowed in the above terms, and the order of the Tribunal is modified to the above extent. There will be no order as to costs.