9911796707
TMI Blog1990 (1) TMI 82X X X X Extracts X X X X X X X X Extracts X X X X ..... ments made in the counter-affidavit of respondents 1 to 3 are not disputed by the petitioners. This preface is necessary as the decision on the question depends on the facts of the cases. Now, the facts as given in the counter-affidavit of respondents 1 to 3 are : ".... M/s. BHEL Ranipet, have been manufacturing various Boiler Components falling under Chapter No. 8404. M/s. BHEL are getting certain components manufactured by the ancillary units which are situated very close to the factory. Hitherto, they have been supplying the raw material to the ancillary units and the ancillary units are turning the raw material into finished goods according to the specifications given by M/s. BHEL and the finished goods are returned to principal manu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and ACC, Wadi. As per the contract entered into between BHEL and ancillary units, any balance raw material have to be returned to M/s. BHEL. Before despatch of finished goods to ACC-Wadi, ancillary units are required to stencil legibly on the fabricated components with project name, work order No., firm's code No., weight etc., as may be prescribed by the BHEL inspector in terms of para 5 of the contract entered between BHEL and Ancillary Units. As the raw materials and the finished products belong to M/s. BHEL, the ancillary units were instructed to follow the procedure and clear finished products on payment of duty as per the provisions of para 7 and read with Explanation Clause VIII, of the Notification No. 175/86-C.E., dated 1-3-1986 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s not eligible for the grant of exemption under the Notification : Provided that nothing contained in this paragraph shall be applicable to the specified goods which are component parts of any machinery or equipment or appliances and cleared from a factory for use as original equipment in the manufacture of the said machinery or equipment or appliances and the procedure set out in Chapter X of the said Rules is followed : Provided further that nothing contained in this paragraph shall be applicable to the specified goods where a manufacturer affixes the specified goods with a brand name or trade name (Registered or not) of the Khadi and Village Industries Commission of the State Khadi and Village Industries Board. (Explanation I to VI ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the learned counsel for the petitioners. 7. Mr. Somasundaram, learned Additional Central Government Standing Counsel, placing heavy reliance on Explanation VIII to the said Notification contended that in the light of the facts narrated above, the members of the petitioners' Associations are not entitled to the Exemption. He also submitted that the decision of the Supreme Court explaining the 'trade mark' will not apply to the facts of this case as the Notification itself explains what is meant by "brand name" and "trade name". He also submitted that assuming that the members of the petitioners' Associations are manufacturers and not doing job works, Explanation VIII disentitles them from claiming the Exemption. 8. I have considered the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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