2012 (2) TMI 144 - AT - Central Excise

Whether use of brand name of a person, who is director of the respondents company amounts to use of same brand name of another person so as to disallow the benefit of SSI - Commissioner(Appeals) decided in favor of assessee based on earlier order of the Tribunal in the case of same assessee Revenue challenged the order of Tribunal before the higher appellate forum - Held that -The said appeal stands rejected by Supreme Court vide order dtd. 01.04.10. Hence, earlier order of the Tribunal stands confirmed and has attained finality Decided against the Revenue.

Summary

Issues:
1. Whether the use of a director's brand name in a company amounts to the use of another person's brand name for Small Scale Exemption.

Analysis:
The Appellate Tribunal, CESTAT, New Delhi, heard an appeal filed by the Revenue against the order passed by the Commissioner(Appeals) in favor of the respondents. The main issue in the appeal was whether the use of a brand name of a person who is a director of the respondents' company could be considered as the use of the brand name of another person, thereby affecting the eligibility for Small Scale Exemption. The Commissioner(Appeals) based his decision on a previous Tribunal order, Final Order No.953-954/04-NB, which concluded that the use of the director's brand name did not disqualify the company from the SSI exemption. The Commissioner followed the earlier Tribunal's decision and allowed the appeal of the respondents.

The Revenue's ground of appeal was that the earlier Tribunal order was incorrect, and they had challenged it before a higher appellate forum. However, it was noted that the department's appeal to the Hon'ble Supreme Court was rejected on a specific date. Consequently, the earlier Tribunal order was confirmed by the Supreme Court and had attained finality. Therefore, the Tribunal found no merit in the Revenue's appeal and accordingly rejected it. The judgment was pronounced in open court on 24.01.12.