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TMI Blog2015 (2) TMI 1090X X X X Extracts X X X X X X X X Extracts X X X X ..... automobile manufacturers they also have certain clearances during the period from 01.04.2011 to December 2011 to M/s. Gajra Differential Gears Pvt. Ltd. who used those goods for captive consumption, that is for use in the manufacture of their final products. The Department is of the view that the appellant company and M/s. Gajra Differential Gears Pvt. Ltd. are interconnected undertakings within the meaning of this term as defined in section 2 (g) of Monopolies and Restrictive Trade Practices Act, 1969 and hence in terms of the provisions of section 4 (3) (b) they have to be treated as related person and accordingly, in accordance with the provisions of Rule 9 read with Rule 8 of the Central Excise Valuation Rules, 2000, they would be liab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as been filed alongwith stay application. Though the matter is listed for hearing of the stay application, after hearing the matters for some-time, the bench was of the view that the matter can be taken up for final disposal. Accordingly, requirement of pre-deposit is waived for hearing of the appeal, and with the consent of both the sides, the matter was heard for final disposal. 2. Shri Ravi Gulani, Chartered Accountant, the ld. Counsel for the appellant pleaded that even if the appellant and M/s. Gajra Differential Gears Pvt. Ltd. are covered by the definition of interconnected undertakings under section 2(g) of Monopolies and Restrictive Trade Practices Act, 1969, they cannot be treated as related person for the purpose of valuation, a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 9, for the purpose of valuation, the two cannot be treated as related person and the transaction value cannot be rejected merely on this basis, that for rejecting the transaction value in such cases the conditions prescribed in Rule 10 of the Central Excise Valuation Rules have to be satisfied which are that - (a) all the sales of the excisable goods are to or through the interconnected undertaking; and (b) either the assessee or its buyer are the holding company or subsidiary company or they are also related in terms of clause 2nd, 3rd or 4th of section 4 (3)(b) and only when the above conditions are satisfied , the transaction value can be rejected and has to be determined in the manner prescribed in Rue 10. In this case according to the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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