TMI Blog2013 (7) TMI 749X X X X Extracts X X X X X X X X Extracts X X X X ..... t bear the brand name and logo of M/s. Mahindra & Mahindra - Rural area means the area comprised in a village as defined in the land revenue records, excluding, any area that may be notified as an urban area by the Central Government or a State Government - In terms of Section 2(b) of Rajasthan Land Revenue Act, 1956 the term "urban area" covers among other areas, the areas falling within "Jaipur region", as defined in clause (8) of Section 2 of Jaipur Development Authority Act, 1982. According to Clause (8) of Section 2 of Jaipur Development Authority Act, 1982", "Jaipur region" means an area in the limits of the city, towns and villages specified in Schedule-I Sl. No.87 of the Schedule I to the Jaipur Development Authority Act covers vill ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 77,98,622/- along with interest. The show cause notice besides the demand of duty along with interest also sought imposition of penalty on the appellant under Section 11 AC and penalty on Shri Anuj Lodha, Authorised signatory of the appellant under Rule 26 of the Central Excise Rules, 2002. This show cause notice was adjudicated by the Commissioner vide order-in-original dated 21.10.2011 by which the Commissioner holding that the appellant were using the brand name and logo of another person - Mahindra Mahindra, held that they were not eligible for SSI exemption. On this basis, the Commissioner confirmed duty demand of Rs.77,98,622/- along with interest and besides this, imposed penalty of equal amount on the appellant firm under Section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this misc. application of the appellant, the respondent Commissioner was directed to send his comments with regard to appellant's claim regarding their unit being located in rural area. The Commissioner has furnished an affidavit affirming that village Sarna Doongar, where the appellant's factory is located, is not a rural area, that village Sarna Doongar is mentioned in Schedule-I to the Jaipur Development Authority Act, 1982, as village falling in the "Jaipur region", that in terms of Section 2 (8) of the Jaipur Development Authority Act, 1982, "Jaipur region" means the areas in the limits of the city, town and villages specified in 1st Schedule and that in terms of Section 2(b) of Rajasthan Land Revenue Act, 1956, "Urban area" means an a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the exemption notification, the exemption is not applicable to the goods bearing brand name or trade name of another person, this provision would not apply in respect of a factory located in a rural area. He also drew our attention to the Explanation H to the notification according to which the "rural area" means the area comprised in a village as defined in the land revenue records, excluding - (i) the area under any municipal committee, municipal corporation, town area committee, cantonment board or notified area committee, or (ii) any area that may be notified as an urban area by the Central Government or a State Government. He, therefore, pleaded in view of the Tehsildar's certificate, the area where the factory is locate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Development Authority Act, village Sarna Dungar is rural area or urban area. He, therefore, pleaded that there is no justification for modification of the stay order dated 22.5.2012. 7. We have considered the submissions from both the sides and perused the records. There is no dispute that appellant's final product bear the brand name and logo of M/s. Mahindra Mahindra and this point has not even been seriously contested at the time of hearing. However, the appellant's plea is that their factory is located in a rural area and, therefore, the provisions of para-4 of the exemption notification regarding denial of exemption to the goods bearing brand name or trade name of another person are not applicable. In terms of provisions of Para-4 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d 6.6.2012 addressed to Upkhand Adhikari, Jaipur and subsequently by another letter dated 21.3.2013 addressed to Mr. Sushila Lodha wife of Shri S.M. Lodha, Proprietor of the appellant firm, has stated that Plot No.F-166, Industrial area, Sarna Dungar, which is located in village Sarana Dungar is in rural area. In any case, the appellant have not been able to establish prima facie case on this point. We also find that point as to whether village where their factory located is rural area or not had not been raised before the Commissioner during adjudication. We are, therefore, of the view once again that the appellant have not been able to establish prima facie case in their favour and as such, there is no reason to modify the stay order date ..... X X X X Extracts X X X X X X X X Extracts X X X X
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