9911796707
TMI Blog1999 (9) TMI 503X X X X Extracts X X X X X X X X Extracts X X X X ..... ne of Rs. 5,00,000/- on the appellants M/s. Calcutta Chemicals Co. Ltd. In addition, it has also imposed a personal penalty of Rs.1,00,000/- on the other appellant Shri Simon George who was the Production Incharge of the appellant company. The main issue covering the period from July, 1991 to March, 1995 which has been raised by the Show Cause Notice, dated 8-8-1996 pertains to the determination of the correct assessable value of the clearances made by M/s. Calcutta Chemicals Co. Ltd. The impugned order has upheld that the extended period under Proviso to Section 11 A is invokable. 3. Head Shri A.P. Datar, Ld. Advocate and Shri C. Saravanan, Ld. Advocate for appellants and Shri S. Kannan, Ld. D.R. 4. Ld. Advocate submits that the order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lace CO. to Calcutta Chemicals Co. Ltd. Merely because one employee was performing certain functions for both the companies and merely because under orders of BIFR M/s. Shaw Wallace Co. had given some financial support for the unit of appellants located in West Bengal, it cannot be said that there was any mutuality of interest as the demand has been confirmed with respect to the appellants' unit at Madras and not in West Bengal. Furthermore, he submits that some of the findings of the Ld. Commissioner regarding facilities like telephones are not factually correct in as much as that the amounts pertaining to the appellants had been debited back to M/s. Shaw Wallace Co. Therefore, the finding that the facts of the case satisfied the thr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nt as it was not accepted after due consideration by the appellants. As against this, he submits that the department was aware that M/s. Shaw Wallace Co. had become holding company of the appellants from as far back as May, 1991 and in this respect he draws our attention to page 30 of the typed set of documents wherein vide their letter dated 21-5-1991 the jurisdictional Range Superintendent had asked the appellants to file price list in Part IV as M/s. Shaw Wallace Co. had became a related person. In their reply dated 27 June, 1991 to the said Superintendent, the appellants had clearly informed that M/s. Shaw Wallace Co. was holding Company of the appellants but had argued that since the prices charged to them was the same as the pri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reiterates the Order-in-Original and particularly points out to paras 6.4 onwards of the Order-in-Original wherein the Ld. Commissioner has detailed the evidences by virtue of which he has concluded that the three conditions in the case Ralliwolf Ltd. supra are satisfied. He submits that particular relevance is para No. 9.1 with respect to Depot Impressed Expenses which were incurred by Shaw Wallace Co. in respect of Depot which belonged to the appellants. Another significant fact relied upon was the pooling of managerial personnel including Shri Simon George for carrying out duties of the appellants as well as M/s. Shaw Wallace Co., therefore neither is the Order-in-Original a non speaking one nor are the conclusions not based on prope ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions exchanged between the appellants and the Range Superintendent as noted above in the year 1991 itself, it is clearly on record that the jurisdictional Range Superintendent was aware that M/s. Shaw Wallace Co. were holding their subsidiary, i.e. the present appellants, w.e.f. those specified date and despite this, the appellants had all along been explaining their stand that the correct assessable value was declared in view of the reasons cited in those communications. One of the reasons included therein was that 20% of the sales were to independent wholesale dealers at the same prices. These evidences had been placed before the original authority also as per the submissions of ld. Advocate. Since one of the main appellant's submission ..... X X X X Extracts X X X X X X X X Extracts X X X X
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