2011 (2) TMI 14

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..... al duty together with interest and proposing penal action - court accepted the contention that duty to be paid on the price at which the goods sold to independent third parties – Demand and penalty set aside [Sundaram Fasteners Ltd - 2011 - TMI - 202315 - CESTAT, CHENNAI.] - E/557/2004 - - - Dated:- 15-2-2011 - Ms. JYOTI BALASUNDARAM, Dr. CHITTARANJAN SATAPATHY, JJ. Ms.Indira Sisupal, JDR .....

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..... d proposing penal action, by treating the sale value of M/s.Suresh Pharma as the transaction value in terms of Section 4 of the Central Excise Act, 1944 read with Rule 9 of the Central Excise Valuation (Determination of Price of Excisable Goods) Rules, 2000. The proceedings were dropped by the adjudicating authority on the ground that mere relationship is not enough to attract valuation provisions .....

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..... es. The undisputed factual position is that SFL cleared the goods both to related persons (interconnected undertakings) as well as to independent buyers. This being so, the provisions of Rule 9 which prescribes that when an assessee so arranges that the excisable goods are not sold by assessees except to or through a person who is related in the manner specified .. value of the goods shall be the .....

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