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2022 (9) TMI 430 - AT - Central ExciseValuation - manufacture of Co-Extruded Multi Layer Printed Plastic Film (PPF) - Revenue alleged that the price at which the PPF is sold to DCMPUs/associate members (dairies) is not normal transaction between the appellant and the dairies - price is the sole consideration for sale or not - related party transaction - inter-connected undertakings - mutuality of interest between the members and the GCMMF - HELD THAT:- Only if the parties are related in terms of Clause (ii), (iii), (iv) of Section 4(3)(b) of Central Excise Act, would they be treated as related persons. Analysis of the impugned order shows that the said order after reaching at the conclusion that the two namely, the appellant and the Dairies are inter-connected undertakings does not proceed further. The impugned order holds that since GCMMF holds control that both the appellants as well as Dairies, there is mutuality of interest between the appellant and the dairies. The impugned order hold that M/s. GCMMF has a decisive role to play in financial matter on which the price of products is done. The impugned order holds that as per bylaw no.5.2.9, it is incumbent on GCMMF to plan overall production programme for the federation and its members keeping in view the market strategy. Bylaw no. 5.2.13 casts obligation on M/s. GCMMF to purchase or assist in purchasing raw material, etc and manufacture or collaborate with someone when required and bylaw no. 5.2.19 authorizes GCMMF to advise the members on price fixation, price policy, public relations and allied matters. All the bylaws cited by the Commissioner shows some kind of control of GCMMF over the member unions/dairies and on the appellant however, there is not an iota of evidence to suggest that the appellant had any control over the dairies or vice-versa. There are no evidence to hold that the appellant and the dairies are related in terms of Section 4(3)(b) of Central Excise Act - appeal allowed.
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