Sameer-Center For Electromagnetics Vs Commissioner of GST And Central Excise (CESTAT Chennai)
The appeal arose against an Order-in-Appeal dated 25.07.2016 by which the Commissioner (Appeals) dismissed the appellant’s appeal as not maintainable on the ground that the mandatory pre-deposit requirement under Section 35F of the Central Excise Act, 1944, read with Section 83 of the Finance Act, 1994, had not been complied with.
The appellant contended before the Tribunal that the Commissioner (Appeals) had rejected the appeal solely on the alleged failure to satisfy the pre-deposit condition without examining the merits of the case. The appellant submitted that, pursuant to Interim Order No. 162/2013 dated 07.02.2013, an amount of ₹3,00,000 had been deposited on 22.02.2013, and proof of payment had been placed before the Tribunal. On this basis, the appellant requested that the matter be remanded to the Commissioner (Appeals) for adjudication on merits.
The Department supported the findings contained in the impugned order.
The Tribunal examined the records and observed that against the confirmed demand of ₹40,14,367, the statutory pre-deposit requirement of 7.5% worked out to approximately ₹3,01,078. It further noted that the appellant had already deposited ₹16,78,101 on 01.06.2012 after the passing of the Order-in-Original dated 29.02.2012. This amount was substantially higher than the mandatory pre-deposit prescribed under Section 35F. Additionally, the appellant had deposited another ₹3,00,000 on 22.02.2013 in compliance with the Interim Order dated 07.02.2013.
