BONNY AUTO Vs. COMMISSIONER OF CENTRAL EXCISE

JUDGEMENT

(1.) THIS appeal is directed against the Order -in -Appeal No. 423 -424/2010/COMMR(A)/CMC/RAJ, dated 17 -9 -2010. The facts of the case are that the assessee was providing the services as Direct Sales Agents on commission basis since October, 2004 to General Insurance Companies and ICICI Bank. The services being provided by the appellants being in the nature of 'Business Auxiliary Services', were taxable but the obligation of Service Tax was not discharged on being misguided by their principals. Further, though they have obtained registration in September, 2005, they have not filed returns. The above fact was admitted by Shri Mayur Vikrambhai Daftary, proprietor of the assessee in his statement dated 11 -2 -2008.

(2.) AGGRIEVED by such order, appellant preferred an appeal before the First Appellate Authority. The First Appellate Authority after considering the submissions made by the appellant upheld the order of the lower authority for imposition of penalty under Section 78 of the Finance Act, 1994 and also for the imposition of penalty under Sections 76 & 77 of the Finance Act, 1994 and allowed the appeal filed by the Revenue.

(3.) THE ld. Departmental Representative reiterated the findings of the lower authorities.