B.E. GELB CONSULTANCY SERVICES Vs. CCE

JUDGEMENT

(1.) THIS appeal filed by M/s. B.E. GELB Consultancy Services (BEGELB), Michigan, challenges an order passed by the Commissioner (A), Coimbatore. Under an agreement entered into by the appellants with M/s. L.G. Balakrishnan and Brothers Ltd. (LGB), BEGELB transferred technical know -how and provided technical assistance to LGB for manufacture of automotive chains and associated equipment such as tools. LGB paid royalty @ 5%/8% of sale price of chains for local sale/export as well as separate technical know how fees as mutually agreed. The lower authorities found that BEGELB had rendered consulting engineer's service as the agreement had envisaged provision of, inter alia, the following:

(2.) THE Ld. Counsel appearing for LGB, authorized to represent the appellants, submits that the service provider in the instant case was, to the best of their knowledge, a proprietary concern. Shri Burce E. Gelb had expired and therefore the liabilities abated. She submits that she could not obtain any document authenticated by the Indian Embassy, in the USA, certifying the status of the appellant as a proprietorship concern or a firm, as directed by this Tribunal. She submits a copy of the website of BEGELB which describes the appellant as a private company. She submits that the possible conclusion was that BEGELB had been a proprietorship concern. As regards the merits of the case, she relies on the following case law.

(3.) IT will provide concept and design layouts for the production of automotive silent chain.