TMI Blog2005 (3) TMI 251X X X X Extracts X X X X X X X X Extracts X X X X ..... ji Industrial Estate, Akurli Road, Kandivali (E), Mumbai and other one at Gala No. 1, Singh Estate, Road No. 3, Kandivali (E), Mumbai. 1.3 M/s. Zenith Engineering (herein after referred to as Zenith) is a role proprietary concern of Mrs. M.V. Bolingkar having its factory at Gala No. 3, Singh Estate, Road No. 3, Kandivali (E), Mumbai. 1.4 A sole proprietary concern of Mrs. Arti P. Jani situated at 3/8, Metal Shipping Centre, Malad (W), Mumbai named as M/s. Pradanaya Engineering (herein after referred to as Pradanay for short). 1.5 These three concerns were engaged in the manufacture of Motor Vehicle parts. While PEP was registered with Central Excise Department and following all formalities; Zenith is what is called as Declarant units ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... facture of goods, electricity consumption, etc., and confirmed dummy status of these firms through a speaking order. (iv) various case laws cited have to be looked into based on the facts of the present case as M/s. Pradnya is operating from a residential premises and no evidence of any manufacture found in this premises by use of any machines, etc.; M/s. Zenith was a small gala and no machinery was installed there; No evidence of purchase and installation of machinery filed and no records of daily production also maintained. Mrs. Bolinjkar was entirely unaware of the purchase of materials and financial transactions; when evidence of purchase and installation of machinery and other documentary evidence of manufacture were not revealed til ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er could not have rejected the retraction affidavits filed by the appellants herein. These should have been considered and a finding arrived. Non consideration, only exhibits a bias or and closed mind, which cannot sustain an order required from the authorities after application of mind in an unbiased manner. (b) The Panchanama as drawn is being questioned and independent material was required to be brought on record to establish the contents of the same. The non-consideration of request to visit the factory as made on various dates to the authorities show a closed mind and a desire not to take defense explanations in consideration. Orders emanating with such back ground are to be struck down. (c) documents on purchase/procureme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rented premises, they are registered under Shop and Establishment Act. They possess hand operated machinery and send out, on job work, the products requiring working by Power operated Machines. The dummy nature of Pradanya and Zenith therefore cannot be upheld in the facts of the case. (f) the aspect of Notifications 83/94-C.E., dated 11-4-1994 and 84/94 C.E., dated 11-4-1994 benefits being available to the declarant and SSI units for getting part full job done elsewhere has been totally ignored by the lower authority and investigators. They have been led to believe that 'job work' benefit was not available to such units or have conveniently omitted to enquire into and consider that aspect when job work was being claimed. These noti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... an article or any operation which is essential for the aforesaid process and the expression "job worker" shall be constructed accordingly". This would permit goods (raw material/semi finished/ unfinished/fully finished) to be sent for job work to PEP via or direct form Zenith and like wise from Pradanya, and goods so manufactured on job work would be fully exempted from duty cannot be charged to duty under the SSI notification by reducing the value in the exemption status of each one of the units i.e. Pradanya, Zenith and PEP. The non compliance of procedural aspects if any, as urged, cannot deny the grant of benefit of the notification, is well settled in the case of other "job work" notifications e.g. 214/86 [see Commissioner v. Nestle ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
