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TMI Blog2015 (11) TMI 1554X X X X Extracts X X X X X X X X Extracts X X X X ..... osal together as common issues are involved. 2. The two appellants have factories adjacent to each other and M/S Alcochem Organics Pvt Ltd relies on M/s Ghaziabad Organics Ltd for a sizable quantity of its input viz. 'acetic acid'. The primary output of former is 'ethyl acetate' which requires alcohol as a second input - 'spirit' that is under regulatory control of the laws enacted by the state government. 3. Based on consumption patterns of 1999-2000 and 2000-2001, proceedings were initiated against M/S Alcochem Organics Pvt Ltd for unaccounted production of 'ethyl acetate' for 1998-99 and 1999-2000 with duty liability of Rs. 23,22,813/-. The Central Excise authorities relied upon utilisation o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... clandestine production. 6. Disputes relating to clubbing of clearance of units claiming the small scale exemption are galore and have travelled to this Tribunal, and beyond, on many occasions. Various decisions of the Tribunal were cited by Learned Counsel for appellants i.e. Poly Printers Vs. Commissioner of Central Excise, Delhi-I - [2002 (139) ELT 295 (Tri.Del.)], Special Machines Vs. Commissioner of Central Excise, Delhi - [2004 (169) ELT 215 (Tri.-Del.)], Unicure Remedies Pvt. Ltd. vs. Commissioner of Central Excise, Vadodara-l - [2005 (185) ELT 257 (Tri.- Del.)] and Commissioner of Central Excise, Chandigarh Vs. Shiva Exim Enterprises - [2005 (185) ELT 169 (Tri.-Del)]. He also drew attention to circular no. 6/92 dated 29th May 1992. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of circumstances would justify denial of small scale exemption to both units. 11. One of the fundamental aspects that appear to have been brushed aside by both lower authorities is the factum of both appellants being limited companies. Such companies may have interest in each other through holding company pattern or group company structure. And such companies may have financial relationship with each other without bearing the stigma of subterfuge for deriving undue advantage of the benefits small scale exemption. This immunity has its origin in the accountability of a company to its shareholders and the status as an 'artificial person" which has neither greed nor the 'wherwithal to induige in a greedy conduct. 12. The findin ..... X X X X Extracts X X X X X X X X Extracts X X X X
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