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1986 (4) TMI 59 - SC - Central ExciseWhether the firm of M/s. Alok Textiles could be said to be related person within the meaning of that expression as defined in Clause (c) of Sub-Section (4) of Section 4 of the Central Excises & Salt act, 1944? Whether the value of the excisable goods for the purpose of levy of excise duty in the hands of the respondents could be taken to be the whole-sale cash price at which the excisable goods were sold by the firm of M/s. Alok Textiles on the basis that the firm of M/s. Alok Textiles was a related person? Held that:- Having regard to the decision of this court in Union of India v. Bombay Tyres International [1983 (10) TMI 51 - SUPREME COURT OF INDIA, NEW DELHI] the view taken by the High Court that the definition of 'related person' in Clause (c) of Sub-Section (4) of Section 4 is unconstitutional and void has to be rejected. The Assessing authorities were therefore, clearly wrong in taking the wholesale cash price at which the excisable goods were sold by the wholesale traders as the value of excisable goods for the purpose of levy of excise duty. The wholesale cash price at which the excisable goods were sold by the respondents to M/s. Alok Textiles and other wholesale dealers was the only price liable to be taken for determination of the value for the purpose of levy of excise duty. We would therefore partly allow the appeal
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