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TMI Blog1985 (2) TMI 160X X X X Extracts X X X X X X X X Extracts X X X X ..... Iron Foundry, Jabalpur. The rates for the sale were fixed by the DGS D and contracts were entered into between the parties. The terms of the contract were revised from time to time and one of the clauses provided for delivery and collection charges at the rate of Rs. 45/- per 100 cubic Mtrs. to be paid extra as per terms of the rate contract. The respondents filed the price lists on the basis of the revised contract. They did not include this sum of Rs. 45/- in the sales to M/s. Grey Iron Foundry, Jabalpur. 3. Two show cause notices were issued on 1-9-1980 one for the period from 1-3-1973 to 29-2-1980 for Rs. 6,126.85 P. and the other for the period from 1-3-1980 to 30-6-1980 for Rs. 960.04 P. It was alleged that the delivery and colle ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de. He stated that there should be no deduction for delivery and distribution charges and that they should be considered part of the price under Section 4(4)(d)(i). He further stated that the collection of Rs. 45/- per 100 cubic Mtrs. was at a flat rate and not the actual cost of transportation. 5. Shri D.N. Kohli, the learned Consultant for the respondents pleaded that the sum of Rs. 45/- represented the distribution charges and that the gas was filled up in cylinders either brought by the buyers or in durable and returnable containers supplied by the respondents. He stated that inasmuch as the distribution and collection charges arose after the manufacture of the products the same could not be included in the assessable value. 6. We h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... consultant for the respondents also argued that the show cause notices dated 1-9-1980 were issued beyond the period of 6 months and were time barred. It is important to note that the show cause notices did not set out any ground of suppression of facts. Further the Assistant Collector has mentioned that the show cause notices were amended to read Section 11A in the place of Section 10(1) wherever it occurred. The show cause notices should not have been amended as under Section 11A which came into force only on 17-11-1980. The show cause notices also mention Rule 10(1) of the Central Excise Rules. Rule 10 of the Central Excise Rules was omitted on and from 17-11-1980. Section 11A became operative thereafter. The infirmity in the show cause n ..... X X X X Extracts X X X X X X X X Extracts X X X X
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