TMI Blog1993 (1) TMI 169X X X X Extracts X X X X X X X X Extracts X X X X ..... are Government undertakings and they would not pay them the duty if they (the petitioners) pay the same to the Department. On merits, Shri Chakraborty submitted that a proper examination of the provisions of the Notification No. 175/86 would support their case. They manufacture and supply soap to customers like Indian Airlines and ITDC hotels which are Government of India undertakings marking them with their names (customers ). On this score para 7 of the said Notification does not come into play, as wrongly held by the authorities below, Para 7 states that exemption is not applicable where a manufacturer affixes the specified goods with a brand name or trade name of another person who is not eligible for the grant of exemption under the sa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... actured by them to indicate the ownership of the soaps which are not traded by their customers. Shri Chakraborty pleaded that stay may be granted. He pointed out that in an exactly similar case, this Bench had granted stay and the appeal transferred to Special Bench. 2. Shri B.B. Sarkar, learned Departmental Representative replied to the arguments advanced by the learned Counsel. He supported the impugned order. He submitted that the actual wording of para 7 of the relevant Notification would support the stand of the authorities below. Explaining this point, he stated that the said paragraph lays down that the exemption will not be applicable if the goods are affixed with a trade name or brand name of another person who is not eligible fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... duty. Here the petitioners customers purchase soaps with their names marked thereon for being kept in their aircrafts or terminal buildings or the hotel rooms for use by their customers. No sale is involved. No manufacturing activity is indulged in by them. They are only customers and users as far as the subject goods are concerned. Not being manufacturers, regular or deemed, they do not need an exemption Notification which is irrelevant as far as they are concerned. Hence, we feel even para 7 has no application in a case of this type. 4. In line with our previous decision SP-532/A-697 CAL/91 dated 30-10-1991, we grant the stay prayed for. Registry to transfer the appeal to CEGAT, New Delhi for disposal by the concerned Special Bench. - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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