- (1.) This writ petition is directed against a proceeding dated 22nd February, 1991 initiated by the Assistant Collector, Central Excise, Central Excise Division, Rai Bareli, whereunder certain goods belonging to the petitioner have been detained in lieu of excise duty demand totalling Rs. 15,64,358.40 P. This amount is made up of 8 items mentioned in the order of detention. The petitioner is challenging the said detention as incompetent and invalid.
(2.) So far as Items No. 5 and 6 are concerned, it is brought to our notice that the appeals were preferred against these demands along with stay applications and the said stay applications were disposed on 13th February, 1991. Though the stay applications were rejected, the petitioner was granted a month's time for paying the duty. The month's time will expire only on 17th March, 1991. It is, therefore, stated that the detention of goods for recovering the said amount of duty under Items No. 5 and 6, is premature.
(3.) So far as the amounts demanded under Items No. 1 to 4, 7 and 8 are concerned, it is submitted that the appeals are pending against the said demands and that the stay application filed by the petitioner in these appeals have not yet been disposed of. Reliance is placed upon a Circular of the Central Board of Indirect Taxes dated 2nd March, 1990 (Circular No. 7/90-CX-6), wherein it has been directed that it would not be fair and just to proceed with the recovery, while applications for stay of the impugned order or for waiver of the condition of deposit, are pending before the Appellate Authority. It is, accordingly, submitted that since the said stay applications are pending, the proceeding for recovery of the disputed duty is not warranted.;