STAY/DISPENSATION OF PRE-DEPOSIT
IN THE HIGH COURT OF DELHI, while deciding on 29.8.09 the Writ Petition (Civil) No. 1793 of 3008 in re: VIRENDER KUMAR YADAV vs UNION OF INDIA, it was observed as follows:-
QUOTE: From various judicial pronouncements on this issue, the position which emerges is that the Tribunal while considering any application for waiver of deposit is to take into account firstly the existence of a PRIMA FACIE case. In case, it is found that a party has a very strong PRIMA FACIE case, and / or where the errors in the impugned order are writ large on the record, in such a case, it would be competent for the Court in the exercise of its jurisdiction to grant waiver of pre-deposit since in such a case requiring a pre-deposit itself would amount to UNDUE HARDSHIP. There is no denying of the fact that while dealing with the application for stay it is neither desirable nor proper for the Tribunal or any other authority to embark upon a detailed inquiry to find out whether the stand of the applicant before it is correct or not because expression of any opinion on merits at that juncture, without full-fledged hearing and consideration of entire material, is likely to cause prejudice to either side. But at the same time, the authority concerned is required to consider whether with reference to the material placed before it, a PRIMA FACIE case for grant of stay is made out or not and the balance of convenience lies in whose favour. UNQUOTE
[for full text of the judgement, please visit http://www.taxesinindia.com and click on the citation taxind_2009_hc_del_wpc_1793]
HIGH COURT ORDER
[EDITOR's NOTE: This judgement of the Delhi High Court re-emphasises what a quasi-judicial authority as well as a Tribunal shall keep in mind while considering an application for grant of stay of any order which is under appeal, from the aggrieved party [whether it is the Dept. of Revenue or the asseessee / importer]. In fact, this is how the appellate / revisionary authorities as well as the Tribunal benches [since its inception in 1982] have been dealing with the stay applications. If this practice continues, then, lot of relief would be available to the aggrieved persons and their confidence on their application on merits being dealt with by the adjudicating forum would also increase. SATHYAMEVA JAYATHE]
VENKATRAMAN RAGGHUPATHY, Web admin.
