9911796707
TMI Blog2000 (8) TMI 753X X X X Extracts X X X X X X X X Extracts X X X X ..... orporation and were thereafter effected to M/s. Hatsun Milk Foods (P) Ltd. M/s. Hatsun Foods (P) Ltd. was a closely held Private Ltd. Company, held by the appellants family and was named subsequently as M/s. Hatsun Milk Foods, which was renamed as Hatsun Agro Products when they went public. It was found that Shri R.G. Chandramogan, who was the sole proprietor of the appellants Company i.e. M/s. Atlantic Foods was the son of partner of M/s. Ganesh Corporation and was also the Managing Director in M/s. Hatsun Milk Foods Pvt. Ltd. and subsequently in M/s. Hatsun Agro Products Ltd. Therefore, the learned Commissioner found that the sales to those entities should be charged to duty as per provision (i) and (iii) of Section 4(1) of Central Excise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ken by us in regard to the interpretation of this definition, it cannot be said to be ultra vires or void. But even on the interpretation placed by us on the definition of related person , it is difficult to see how the firm of M/s. Alok Textiles could be said to fall within the category of related person , because though the firm of M/s. Alok Textiles had interest in the business of the respondents, it could not be said that the respondents had any interest, direct or indirect, in the business of M/s. Alok Textiles. Moreover, the firm of M/s. Alok Textiles was not the only firm to which the excisable goods were sold by the respondents in the wholesale trade. The respondents sold only 34 to 40% of the total production to the firm of M/s. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... we cannot uphold the order of mutuality of interest or any flow back. 5. Since we are setting aside the impugned order on merits as per the Hon ble Supreme Court judgment which was followed consistently by the Tribunal and the High Courts, we do not wish to go into the other issues raised by the Chartered Accountant regarding entities being not related and/or the issue of time bar being raised in these appeals. 6. Since we find that the value as declared and on which duties have been paid cannot be altered in the facts of this case, and there could be therefore, no determination of any short levy of duty, there is no case for invoking the penal clause and the penalties imposed are required to be set aside. We find that the imposition of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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