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2019 (8) TMI 381 - AT - Central ExciseTime limitation - SSI Exemption - use of brand name - abatement of notification issued under section 4A of Central Excise Act, 1944 - HELD THAT:- The appellant-manufacturer, admittedly, produces goods which are sold to M/s TVC Sky Shop Ltd who, in turn, markets the products to their customers. It is also not in dispute that the brand name does not belong to the appellant-manufacturer and that it is the appellant-manufacturer who affixed the ‘maximum retail price’ on the package. The claim that such manufacture contracted with a single client is excluded from the purview of assessment under section 4A of Central Excise Act, 1944 does not stand the test of reason. It is in the nature of scheme of alternative assessment under section 4A of Central Excise Act, 1944 that the manufacturer, literally wears his intent on his sleeve and the marking of the maximum retail price on the product is the surest indicator of the goods being intended for the retail customer. This clear manifestation of intent on the part of the appellant must inevitably lead to duty liability in accordance with section 4B of Central Excise Act, 1944. Naturally such a resort is contingent upon non-eligibility for the exemption available to small scale unit under notification no. 8/2003- CE dated 1st March 2003. The appellant is a manufacturer and the brand/logo is not theirs. There is no evidence on record that contract purchaser, the ‘supplier’ of brand name/logo, is entitled to the same exemption. In the absence of such a claim, the eligibility to exemption becomes questionable. The duty liability, the confiscation of goods along with imposition of penalty, fine thereon for redemption as well as penalty under section 11AC of Central Excise Act, 1944 is upheld - penalty reduced subject to fulfillment of condition - appeal allowed in part.
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