2017 (4) TMI 497

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..... nd the appellant is a unit of said company. Therefore, all the three i.e., National Textile Corporation (Maharashtra North) Ltd., the appellant and CDC, are under one single entity, i.e. the company, M/s. National Textiles Corporation (Maharashtra North) Ltd. Therefore, among three there are no different persons involved. Accordingly, there is no related person exist in the entire transaction - Since the SCN is based only on the point of related person, even though some other valuation provision may or may not apply, we cannot address to the same. Otherwise, we have to travel beyond the scope of SCN, which is not permissible in the law - appeal allowed - decided in favor of appellant. - E/399/06-Mum - A/86462/17/EB - Dated:- 21-3-2017 - .....

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..... he ground that the CDC is a related person of the appellant is incorrect. Therefore, the show-cause notice which is based on the wrong foundation, the entire proceedings will not survive. Hence, the demand is liable to be set aside only on this ground alone. He further submits that the period involved is from 01/10/1992 to 31/07/2004. He submits that even for argument sake, if it is accepted that the CDC is a related person, in that case also the value of comparable goods should be adopted. Accordingly, the value on which the goods were sold from CDC cannot be taken as assessable value. He submits that the appellants are also selling the similar goods to other independent buyers. Therefore, the said value should be adopted and accordingly, .....

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..... nt is a unit of said company. Therefore, all the three i.e., National Textile Corporation (Maharashtra North) Ltd., the appellant and CDC, are under one single entity, i.e. the company, M/s. National Textiles Corporation (Maharashtra North) Ltd. Therefore, among three there are no different persons involved. Accordingly, there is no related person exist in the entire transaction. In the show-cause notice, the entire basis for disputing the valuation is that the CDC is a related person of the appellant, which is factually incorrect. Therefore, the entire foundation of the show-cause notice gets demolished. In such case in all the proceedings which is based on such show-cause notice will get vitiated. Since the show-cause notice is based only .....

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