2009 (7) TMI 942 - AT - Central Excise

Summary

The appellate tribunal CESTAT, New Delhi, consisting of Justice R.M.S. Khandeparkar and Shri M. Veeraiyan, heard an appeal against an order by the Commissioner (Appeals) related to a state government-owned company manufacturing footwear. The company sold products directly to customers based on MRP printed on the footwear and to organizations like home guards, police, and navy on a contractual basis. The appellant paid duty based on MRP minus deductions, but a show cause notice proposed valuation based on the contract price. The notice alleged extra collections from institutional customers and confirmed a differential duty, interest, and penalty. The tribunal noted that MRP was printed on the footwear, but there was no evidence of sales above MRP to institutional buyers. Consequently, the tribunal set aside the lower authorities' orders, allowing the appeal with relief.