P.G. Chacko, Judicial Member - This application filed by the appellant seeks waiver of pre-deposit and stay of recovery in respect of the adjudged dues including an amount of Rs. 99,81,669/- demanded towards service tax and education cesses under the Head "Management or Business Consultancy Service" for the period from May, 2006 to September, 2009. After perusal of the records and hearing both sides, we find that the impugned demand is in the reverse charge mechanism embodied in Section 66A of the Finance Act, 1994 and is on the amounts paid by the appellant to certain foreign law firms for various services provided by the latter. The case of the appellant is that the services received by them were essentially in the nature of legal services which were used in relation to mergers, acquisitions, investments etc. and that such services! were not taxable during the period of dispute. It is submitted that the foreign 'firms were not Management Consultants to provide any advice or consultancy in relation to the management of the appellant's organization or business. Per contra, the case of the Revenue is that, as the appellant had received advice/consultancy from the foreign firm in relation to financial management, such services would fit in the definition of "Management or Business Consultant" under Section 65(105) of the Finance Act. The learned counsel for the appellant and the learned Addl. Commissioner (A.R.) have argued their respective cases. The learned counsel has also pointed out that this Bench granted waiver and stay in a similar case of Sobha Developers Ltd. v. CCE [Stay Order No. 651 of 2010, dated 7-7-2010].

2. On a perusal of the records, particularly copies of the relevant invoices, we have not found any good reason to hold that these invoices were raised by Management Consultant. Prima facie, the description of services given in these invoices can squarely fit in the definition of "legal services". By and large, under cover of these invoices, appellant was receiving services such as due diligence in respect of corporate entities considered for mergers/acquisitions, framing of terms and conditions of various agreements, conveyancing and the like. Prima facie, these services cannot be considered to be services in the nature of advice or consultancy in relation to financial management of the appellant. There seems to be a clear distinction between the advice/consultancy covered by "legal services" and the advice/consultancy/technical assistance covered by management or business consultancy services". Going by the records produced by the appellant, we have found force in the submissions of the learned counsel. We also note that the above definition was considered by this Bench in the case of Sobha Developers Ltd. (supra) and waiver of pre-deposit was granted against the demand of service tax raised under management consultancy service. Legal services became taxable only after the period of dispute. Hence there will be waiver and stay as prayed for.