SUNDARAM FINANCE LTD Vs. COMMISSIONER

JUDGEMENT

(1.) The Facts

(2.) The appellant is a Non-Banking Financial Company engaged in extending finance facilities in the area of vehicle finance, including that of equipment through hypothecation, leasing and hire-purchase modes. The appellant provides taxable services under the categories of Banking and other financial services, Business Auxiliary Services and Business Support Services. The appellant is an assessee on the file of the service Commissionerate, Chennai.

(3.) The transaction carried out by the appellant as Non-Banking Financial institution would result in receiving the finance facilities extended by it to various customers comprising the principal along with the interest and certain specified instalments. This mode of mobilisation of funds is governed by the guidelines issued by the Reserve Bank of India from time to time.