2005 (12) TMI 313 - AT - Central Excise

Summary

Issues:
1. Eligibility for benefit of Notification 1/93-C.E. and 7/97 for the period 1-4-1994 to 22-2-1998.
2. Ownership and right to use the logo 'Cyclo' by the appellants.
3. Time-bar issue.

Analysis:

Issue 1:
The appellants were engaged in manufacturing Drum Motors and Electric Motors with the logo 'Cyclo'. The duty demands were made for the period 1-4-1994 to 22-2-1998 under Section 11A(1) as they were not considered eligible for the benefit of Notification 1/93-C.E. and 7/97. The duty demands were confirmed, and penalties were imposed under Section 11AC and Rule 173Q, along with confiscation under Rule 173Q(2).

Issue 2:
In the appeal, the Commissioner (Appeals) found that the appellants had contested that they acquired the right to use the logo 'Cyclo' from M/s. Cyclo Enterprises. However, it was established that M/s. Cyclo Transmission Ltd. had the right to use the logo before the appellants, and the appellants started using it after them. The department alleged that the appellants were using the logo of M/s. Cyclo Transmission Ltd. The Tribunal noted that there was no condition in the Notification requiring ownership of the logo for eligibility. It was decided that the matter needed to be remanded for a fresh decision to determine the actual use and legal ownership of the logo 'Cyclo' as per Trade and Mercantile market laws. Reference was made to a Supreme Court decision for guidance.

Issue 3:
The time-bar issue was kept open for consideration in the remand proceedings. The appeal was allowed, and the case was remanded to the original authority to reevaluate the issue in accordance with the law after establishing the facts and hearing the appeal again.

In conclusion, the Tribunal remanded the case to determine the ownership and right to use the logo 'Cyclo' by considering the legal principles and the sequence of usage. The time-bar issue was left open for further examination in the remand proceedings.