{"id":191133,"date":"2008-09-09T00:00:00","date_gmt":"2008-09-08T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/hingora-vs-union-on-9-september-2008"},"modified":"2015-12-22T16:10:44","modified_gmt":"2015-12-22T10:40:44","slug":"hingora-vs-union-on-9-september-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/hingora-vs-union-on-9-september-2008","title":{"rendered":"Hingora vs Union on 9 September, 2008"},"content":{"rendered":"<div class=\"docsource_main\">Gujarat High Court<\/div>\n<div class=\"doc_title\">Hingora vs Union on 9 September, 2008<\/div>\n<div class=\"doc_author\">Author: K.A.Puj,&amp;Nbsp;Honourable Mr.Justice H.Shukla,&amp;Nbsp;<\/div>\n<pre>   Gujarat High Court Case Information System \n\n  \n  \n    \n\n \n \n    \t      \n         \n\t    \n\t\t   Print\n\t\t\t\t          \n\n  \n\n\n\t \n\t \n\t \n\t \n\t \n\t \n\t \n\t\n\n\n \n\n\n\t \n\nSCA\/1118020\/2008\t 8\/ 8\tJUDGMENT \n \n \n\n\t\n\n \n\nIN\nTHE HIGH COURT OF GUJARAT AT AHMEDABAD\n \n\n \n\n\n \n\nSPECIAL\nCIVIL APPLICATION No. 11180 of 2008\n \n\n \n \nFor\nApproval and Signature:  \n \nHONOURABLE\nMR.JUSTICE K.A.PUJ  \nHONOURABLE\nMR.JUSTICE RAJESH H.SHUKLA\n \n \n=========================================================\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\n1\n\t\t\n\t\t \n\t\t\t \n\nWhether\n\t\t\tReporters of Local Papers may be allowed to see the judgment ?\n\t\t\n\t\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\n2\n\t\t\n\t\t \n\t\t\t \n\nTo be\n\t\t\treferred to the Reporter or not ?\n\t\t\n\t\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\n3\n\t\t\n\t\t \n\t\t\t \n\nWhether\n\t\t\ttheir Lordships wish to see the fair copy of the judgment ?\n\t\t\n\t\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\n4\n\t\t\n\t\t \n\t\t\t \n\nWhether\n\t\t\tthis case involves a substantial question of law as to the\n\t\t\tinterpretation of the constitution of India, 1950 or any order\n\t\t\tmade thereunder ?\n\t\t\n\t\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\n5\n\t\t\n\t\t \n\t\t\t \n\nWhether\n\t\t\tit is to be circulated to the civil judge ?\n\t\t\n\t\n\n \n\n \n=========================================================\n\n \n\nHINGORA\nINDUSTRIES PVT.LTD. - Petitioner(s)\n \n\nVersus\n \n\nUNION\nOF INDIA &amp; 1 - Respondent(s)\n \n\n=========================================================\n \nAppearance\n: \nMR\nSN THAKKAR for\nPetitioner(s) : 1, \nMR HARIN P RAVAL for Respondent(s) : 1, \nNone\nfor Respondent(s) :\n2, \n=========================================================\n\n\n \n\t  \n\t \n\t  \n\t\t \n\t\t\t \n\nCORAM\n\t\t\t: \n\t\t\t\n\t\t\n\t\t \n\t\t\t \n\nHONOURABLE\n\t\t\tMR.JUSTICE K.A.PUJ\n\t\t\n\t\n\t \n\t\t \n\t\t \n\t\t\t \n\nand\n\t\t\n\t\n\t \n\t\t \n\t\t \n\t\t\t \n\nHONOURABLE\n\t\t\tMR.JUSTICE RAJESH H.SHUKLA\n\t\t\n\t\n\n \n\n \n \n\n\n \n\nDate\n: 09\/09\/2008  \n \nORAL JUDGMENT<\/pre>\n<p>(Per<br \/>\n: HONOURABLE MR.JUSTICE K.A.PUJ)<\/p>\n<p>\tHeard Mr. Mihir Joshi,<br \/>\n\tlearned Senior Counsel with Mr. S.N. Thakkar, learned advocate<br \/>\n\tappearing for the petitioner and Mr. Harin P. Raval, learned<br \/>\n\tAssistant Solicitor General appearing for the respondent on advance<br \/>\n\tcopy being served on him.  Looking to the short issue involved in<br \/>\n\tthe petition, the same is taken up for final hearing.\n<\/p>\n<p>\tThe petitioner has filed<br \/>\n\tthis petition under Article 226 of the Constitution of India<br \/>\n\tchallenging the order passed by the Custom, Excise and Service Tax<br \/>\n\tAppellate Tribunal, Ahmedabad on 7.4.2008, directing the petitioner<br \/>\n\tto deposit an amount of Rs.1 crore towards duty within a period of<br \/>\n\t12 weeks from the date of order.  The petitioner was also directed<br \/>\n\tto file compliance report on or before 2.7.2008.\n<\/p>\n<p>\tThe petitioner has<br \/>\n\tchallenged the said order before this Court in the present petition<br \/>\n\tfiled on 23.6.2008.  The matter was, however, in the office<br \/>\n\tobjections.  The  objections were removed pursuant to the order<br \/>\n\tpassed by this Court on 4.9.2008.\n<\/p>\n<p>\tMr.Joshi, learned Senior<br \/>\n\tCounsel appearing for the petitioner has submitted that the order<br \/>\n\tpassed by the Tribunal directing the petitioner to deposit a sum of<br \/>\n\tRs.1 crore is very harsh and looking to the financial position of<br \/>\n\tthe petitioner it is not possible to deposit a sum of Rs.1 crore.<br \/>\n\tHe has further submitted that the petitioner has very strong case on<br \/>\n\tmerits and if the petitioner would not deposit the said amount the<br \/>\n\tappeals which are pending before the Tribunal get frustrated.  He<br \/>\n\thas further submitted that while passing an order of deposit of sum<br \/>\n\tof Rs.1 crore the Tribunal has not assigned any reason whatsoever,<br \/>\n\tespecially when the order under challenge before the Tribunal was in<br \/>\n\tviolation of the principles of natural justice.  The petitioner has<br \/>\n\tapplied for time on 5.11.2007 and the petitioner was given to<br \/>\n\tunderstand that the matter was fixed on 22.11.2007. The impugned<br \/>\n\torder which was challenged before the Tribunal, however, was passed<br \/>\n\ton 19.11.2007.  He has, therefore, submitted that without<br \/>\n\tconsidering this aspect of the matter, the Tribunal has passed the<br \/>\n\timpugned order and hence this Court should exercise its writ<br \/>\n\tjurisdiction under Article 226 of the Constitution of India granting<br \/>\n\tnecessary relief, as prayed for in the petition.\n<\/p>\n<p>\tMr. Harin P. Raval,<br \/>\n\tlearned Assistant Solicitor General appearing for the respondent has<br \/>\n\tsubmitted that the Tribunal has considered all the aspects of the<br \/>\n\tmatter and arrived at the figure of Rs.1 crore by way of pre-deposit<br \/>\n\tand hence this Court should not interfere in the order. He has<br \/>\n\tfurther submitted that the conduct of the petitioner is such that no<br \/>\n\tindulgence is required to be shown.  During the course of<br \/>\n\tinvestigation as well as adjudication proceedings and even after<br \/>\n\tadjudication and before the Tribunal as well as before this Court<br \/>\n\tthe petitioner has made all attempts to delay the proceedings and<br \/>\n\tthereby to delay the payment of duty.  The petitioner has not<br \/>\n\tappeared before the authority despite several notices and summons<br \/>\n\twere issued.  No reply was filed and on the basis of materials,<br \/>\n\tavailable after detailed investigation, duty demand of Rs.3.28<br \/>\n\tcrores was raised against the petitioner and looking to the<br \/>\n\tequivalent amount of penalty under Section 11AC as well as interest<br \/>\n\tunder Section 11AB and the penalty of the three directors, deposit<br \/>\n\tof Rs.1 crore cannot be said to be harsh.  He has, therefore,<br \/>\n\tsubmitted that no interference is called for by the Court.\n<\/p>\n<p>\tHaving heard learned<br \/>\n\tadvocates appearing for the respective parties and having gone<br \/>\n\tthrough the orders of authorities below, we are of the view that the<br \/>\n\torder directing the petitioner to deposit a sum of Rs.1 crore by way<br \/>\n\tof pre-deposit is very harsh and that too in light of the<br \/>\n\tsubmissions made on behalf of the petitioner at the time of hearing<br \/>\n\tof stay application that the  financial position of the petitioner<br \/>\n\tis very weak. Moreover, it is not borne out from the order of the<br \/>\n\tTribunal as to how the amount of Rs.1 crore was ordered to be<br \/>\n\tdeposited.  We are not entering into the merits of the matter and we<br \/>\n\tare not expressing any opinion as to whether demand raised by the<br \/>\n\tRevenue authorities is just and proper.  We are, however,  of the<br \/>\n\tview that the petitioner should not be non-suited, without being<br \/>\n\tconsidered its appeal on merits, by passing an order of pre-deposit<br \/>\n\tof such amount which may not be complied with.\n<\/p>\n<p>\tConsidering the entire<br \/>\n\tfacts and circumstances of the case, we are of the view that<br \/>\n\tinterest of justice would better be served if the petitioner is<br \/>\n\tordered to deposit a sum of Rs.25 lacs within six weeks from today.<br \/>\n\tAccordingly, the petitioner is hereby directed to deposit a sum of<br \/>\n\tRs.10 lacs within two weeks and remaining amount of Rs.15 lacs<br \/>\n\twithin four weeks thereafter.  In any case, the entire amount as<br \/>\n\tindicated above should be deposited within six weeks from today.  On<br \/>\n\tdeposit of Rs.25 lacs within six weeks, the appeals, which are<br \/>\n\tpending before the Tribunal can be taken up for hearing by the<br \/>\n\tTribunal as per its convenience.  Learned Counsel has submitted that<br \/>\n\tthe appeals are still pending before the Tribunal and hence the said<br \/>\n\tappeals can be taken up for hearing only after deposit of this<br \/>\n\tamount.\n<\/p>\n<p>\tIt is made clear that if<br \/>\n\tthe amount of Rs.25 lacs is not deposited within the period of six<br \/>\n\tweeks from today all the appeals pending before the Tribunal shall<br \/>\n\tstand dismissed for non-compliance of the order of the Tribunal, as<br \/>\n\tmodified by this Court.  It is also made clear that as and when<br \/>\n\tappeals are fixed for hearing the petitioner shall co-operate in the<br \/>\n\thearing and disposal of appeals.\n<\/p>\n<p>\tSubject to the aforesaid<br \/>\n\tdirections and observations, this petition is accordingly disposed<br \/>\n\tof without any order as to costs.\n<\/p>\n<p>  (K. A. PUJ, J.)  (<br \/>\nRAJESH H. SHUKLA, J.)<\/p>\n<p>kks<\/p>\n<p>\t\t   \u00a0\u00a0\u00a0<\/p>\n<p>\t\t   Top<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gujarat High Court Hingora vs Union on 9 September, 2008 Author: K.A.Puj,&amp;Nbsp;Honourable Mr.Justice H.Shukla,&amp;Nbsp; Gujarat High Court Case Information System Print SCA\/1118020\/2008 8\/ 8 JUDGMENT IN THE HIGH COURT OF GUJARAT AT AHMEDABAD SPECIAL CIVIL APPLICATION No. 11180 of 2008 For Approval and Signature: HONOURABLE MR.JUSTICE K.A.PUJ HONOURABLE MR.JUSTICE RAJESH H.SHUKLA ========================================================= 1 Whether Reporters [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[16,8],"tags":[],"class_list":["post-191133","post","type-post","status-publish","format-standard","hentry","category-gujarat-high-court","category-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Hingora vs Union on 9 September, 2008 - Free Judgements of Supreme Court &amp; 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