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TMI Blog2008 (8) TMI 855X X X X Extracts X X X X X X X X Extracts X X X X ..... nt of title. It carriers on the business of sale and purchase of paper and board and declared inter-State sales worth Rs. 1,19,84,063.50. The assessing authority examined the account books of the dealer and found that seller sent some bilties through bank and the dealer had declared sale by transfer of document within three to four days from the date of bilty. The assessing authority and the first appellate authority as well held that on the basis of the aforesaid facts the goods were sold without endorsement of document of title. In further appeal, the Trade Tax Tribunal by the order under revision has upheld the contention of the dealer as the transaction in question is covered by form C and form EI/II. The explanation furnished by the de ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s during their movement from one State to another, if the assessee produces the prescribed form EI and form C whether production of form EI and form C restricts the right of assessing officer to enquire into the fulfilment of conditions given under the Act itself? The main thrust of the argument of the learned standing counsel is that the judgment and order of the Tribunal is based on assumption and presumption and is conjectural. The burden was upon the dealer to prove by cogent evidence to show that the transaction took place by endorsement of document of title before the delivery of goods. In the present case, the dealer-opposite party has failed to discharge the burden and therefore, merely because form C and even form EII have been pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e was given to the dealer-opposite party to obtain the necessary certificate from the concerned bank, but he failed to do so to show that it is dealer who retired the documents of title from the bank. The Tribunal has placed reliance upon a judgment of the Kerala High Court in P.A. George and Company v. Assistant Commissioner of Sales Tax (Assessment) I, Special Circle, Alappuzha [1998] 110 STC 253. The said decision is distinguishable and has no application to the controversy on hand. The observations quoted from the said judgment by the Tribunal in its order is out of place. The observation made therein should be read and understood in the context of the issue involved therein. Section 6(2) of the Central Sales Tax Act, 1956 under which ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... transfer or receive goods thereby represented. The test as to whether a particular document is a document showing title or a document of title is whether document is used in the ordinary course of business as authorising a transfer or receipt of the goods, Ramdas v. Amer Chand & Co. AIR 1916 Privy Council 7. A railway receipt is documents of title to goods under section 2(4). Official Assignee, Madras v. Mercantile Bank of India Ltd. AIR 1934 PC 246 (248). The Tribunal has noticed that the goods receipt is drawn in triplicate and one copy is handed over to the bank to collect the sale proceeds and the other two copies were handed over to the transporter and the endorsement is made on the transporter's copy, would amount to the transfer ..... X X X X Extracts X X X X X X X X Extracts X X X X
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