TMI Blog2010 (10) TMI 801X X X X Extracts X X X X X X X X Extracts X X X X ..... is also situated outside India, Accordingly, in view of the detailed order given by this Bench in the case of Muthoot Fincorp Ltd. (2009 -TMI - 75389 - CESTAT, BANGALORE) and facts in the current case being identical as in that case, the impugned order is liable to be set aside and we do so. The impugned order is set aside and appeal is allowed - ST/266/2008 - 1448/2010 - Dated:- 27-10-2010 - M.V. RAVINDRAN, B.S.V. MURTHY, JJ. ORDER M.V. Ravindran, Judicial Member. - This appeal is directed against order-in-appeal No. 30/2008-ST, dated 15-2-2008. 2. The relevant facts that arise for consideration are the appellants are registered with the department for paying service tax under Banking and other Financial Services. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ayments to Indian claimants against the payments received by the Western Union Financial Services for marketing elsewhere in the world. It is her submission that Paul Merchants shared 50 per cent of the commission received by them from M/s. Western Union. It is her submission that this activity will not fall under the category of Business Auxiliary Services as they have received the Commission and they have not charged or provided any services to the Indian claimants. She would submit that an identical issue came up before this Bench in the case of Muthoot Fincorp Ltd. v. CCE [2009] 23 STT 475 (Bang. - CESTAT). 4. Learned JCDR would reiterate the findings of the first appellate authority. It is his submission that the appellants herein ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in USA and other countries by M/s. Western Union. 6. It is undisputed that the relation between M/s. Western Union and PML is of money transfer services which is not a taxable service in India. The appellant herein by an agreement with PML has contracted to pay the amount to Indian claimants of the money deposited by their relatives in foreign countries. It is also undisputed that the appellant herein is not charging any amount from the Indian claimants as service charges or any other fee. In the background of this, we find that the order of this Bench in the case of Muthoot Fincorp Ltd. (supra) will squarely cover the issue. We may reproduce the relevant paragraph of the said order. "2. The appellants are non-banking financial compa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he oral and written submissions before him passed an order rejecting the appeal filed by the appellant and upholding the services rendered by the appellant is taxable under business auxiliary services. Hence, these appeals. 3. to 7.** ** ** 8. It can be seen from the above reproduced clauses from the sub-representation agreement, though the sub-representation agreement is entered between WFL and the appellant, clauses 5, 14 and 15, very clearly indicate the ultimate beneficiary of the entire transaction is Western Union. It is undisputed in this case, that a person approaches Western Union situated outside India for transfer of fund to a beneficiary in India i.e. A person pays money in England to be given to his relative in India, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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