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TMI Blog2014 (11) TMI 821X X X X Extracts X X X X X X X X Extracts X X X X ..... iven apart from the date of amalgamation i.e., on 1-4-2000 and also on the basis of the decision referred to supra, it is made clear that in the instant case the Court can very well come to a conclusion that the so called amalgamation has been given effect to from 1-4-2000. Since amalgamation is having its effect from 1-4-2000, the Small Scale Industry exemption granted till 23-9-2000 to the respondent cannot be accepted. To put it in short, after 1-4-2000 i.e., from the date of amalgamation the respondent has been clothed a new company. Under the said circumstances, the respondent is not entitled to avail Small Scale Industry exemption which has been granted earlier till 23-9-2000. CESTAT, without considering the fact that no specific d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tional Commissioner of Central Excise, Madurai has passed the Order-in-Original and the same has been challenged before the Commissioner of Central Excise (Appeals) by the respondent herein and subsequently dismissed. Against the order passed by the Commissioner of Central Excise (Appeals), A. No. E/524/2002 has been preferred before the CESTAT by the respondent herein. 3. The CESTAT, after hearing both sides and upon relying upon the relevant records, has allowed the appeal by way passing Final Order No. 1291 of 2009, dated 15-9-2009 and against which the present Civil Miscellaneous Appeal has been preferred by the Department as appellant. 4. On the side of the appellant, the following substantial questions of law have been raised fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (b) of the scheme says that from the transfer date viz., M/s. Vidyasagar Textiles Limited shall be deemed to have carried on and to be carrying on their business for and on behalf of and on account of M/s. Palaniandavar Cotton and Synthetic Spinners Limited until such time the amalgamation becomes effective in terms of the scheme and accordingly from the transfer date, the profit and loss of M/s. Vidyasagar Textiles Limited for all purpose be treated as that of M/s. Palaniandavar Cotton and Synthetic Spinners Limited. 5. The short point which involves in the present Civil Miscellaneous Appeal is as to whether the Small Scale Industry exemption granted to the respondent can be extended till 23-9-2000, since the respondent has been amalga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... umstances, the respondent is entitled to avail Small Scale Industry exemption till 23-9-2000 and therefore the Final Order passed by the CESTAT is perfectly correct and the same does not require any interference. 8. It is an admitted fact that after amalgamation and also after sanctioning of scheme by the High Court the Board of Directors of the respondent has passed a resolution to the effect that amalgamation shall come into effect from 1-4-2000. 9. The CESTAT has relied upon a decision wherein it has been specifically mentioned that transfer taken place on 1-4-1993, but it has been given effect only on 6-3-1994. Under the said circumstances, the CESTAT has given a finding to the effect that the respondent is entitled to get Small S ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... gard to effect of amalgamation and also without considering the resolution passed by the Board of Directors of the respondent to the effect that amalgamation has come into effect from 1-4-2000, has erroneously allowed the appeal and thereby set aside the order passed by the Commissioner of Central Excise (Appeals) and in view of the discussions made earlier, the argument advanced by the learned counsel appearing for the appellant is really having merit, whereas the argument putforth on the side of the learned counsel appearing for the respondent does not hold good and further the substantial questions of law raised on the side of the appellant are having substance and altogether the present Civil Miscellaneous Appeal is liable to be allowed ..... X X X X Extracts X X X X X X X X Extracts X X X X
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