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TMI Blog2016 (8) TMI 291X X X X Extracts X X X X X X X X Extracts X X X X ..... ood as, including the liabilities specified in Schedule A to this agreement but cannot be limited to only those liabilities. Further all the registrations, licenses of the earlier manufacturers, including machinery stand transferred to the present appellant. Therefore, the present appellant cannot argue that any offence committed by their predecessors cannot be a charge on them. Liability gets fixed on a person who takes responsibility to obtain central excise licence/Registration. - In the present case there is no evidence on record that a new Central Excise licence/Registration was obtained by the present appellant. On the contrary transfer of licence/Registrations to the successor are also transferred which will legally mean the respo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alik and no show cause notice can be issued to the present appellant . Learned Advocate relied upon Delhi High Court s order in the case of Freezair India (P) Ltd. Vs. CCE, Delhi-I [2013 (11) LCX 0079]. 3. Shri A. Roy, Supdt. (AR) appearing on behalf of the Revenue argued that Show Cause Notice demanding duty from the appellant was issued on 7/6/2007 when amended provisions of Section 11 of the Central Excise Act, 1944 were existing. That the proviso added to Section 11 (2) of the Central Excise Act, 1944 was effective from 10/9/2004 and any duty/sum recoverable from the predecessor can be recovered from the transferee i.e. the present appellant. He also relied upon Apex Court s order in the case of Macson Marbles Pvt. Ltd. Vs. U.O.I. [2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... agreed upon to continue to carry on the same business in partnership. How the partnership can now firm absolve of the liability owned by the proprietorship firm is not clear. No clause is there and also cannot be there in the partnership deed announcing bar on passing of liability. Now, in the Assignment of Business entered into by the Partnership Firm (The Assignors) and the appellants (The Assignee) it has been stated in clause [4] at page 4 THAT the licences, registration certificates issued by any Govt. Department in favour of Assignors their partnership firm shall stand exclusively transferred to the Assignee together with all other rights, benefits and liabilities appurtenant thereto . From the above, passing of lia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in Schedule A to this agreement but cannot be limited to only those liabilities. Further all the registrations, licenses of the earlier manufacturers, including machinery stand transferred to the present appellant . This transfer will also include transfer of registration under Central Excise law given to the predecessors and clause [2] on para 3 of the agreement further talk of all goodwill, licences, registrations, name and connections of the business also being transferred to the present appellant (The Assignee). 4.3 In view of the above facts present appellant cannot argue that any offence committed by their predecessors cannot be a charge on them. Learned A.R. has rightly relied upon the proviso to Section 11 (2) of Central Excise A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d registrations. If Central Excise registration was asked for cancellation by the predecessors of appellant then only the show cause notice was required to be issued to the predecessors for a pending investigation otherwise registration cannot be cancelled. The Central Excise duty is payable on the act of manufacturer and not on a particular person. Liability gets fixed on a person who takes responsibility to obtain central excise licence/Registration. In the present case there is no evidence on record that a new Central Excise licence/Registration was obtained by the present appellant. On the contrary transfer of licence/Registrations to the successor are also transferred which will legally mean the responsibilities/liabilities casted unde ..... X X X X Extracts X X X X X X X X Extracts X X X X
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