S M CHEMICALS & ELECTRONICS Vs. R PARTHASARATHY

JUDGEMENT

(1.) By this petition the petitioners seek an appropriate writ for setting aside the order dated 3rd April, 1976 passed by the Assistant Collector of the Central Excise, namely, the 1st respondent. Respondents 2, 3, and 4 are the Superintendent of Central Excise, the Collector of Central Excise and the Union of India respectively.

(2.) The 1st petitioner is a public limited Company where of the 2nd petitioner is a Director and Shareholder. The 1st petitioner- company manufacturers inter alia radios and television sets at Bombay . Until 15th November, 1973 the 1st petitioner-Company was owned by Telerad Limited and was known as the "Telerad Division" of Telerad Limited . On the from the close of business on 15th November 1973 "Telerad Division" was transferred and the assigned by Telerad Limited to the 1st petitioner company.

(3.) On 8th August, 1975 a Notification was published tot the effected that the new sec. 4 of the Central Excises and Salt Act would come to the force from 1st October, 1975. On 15th September, 1975 price limits were filed by the 1st petitioner- company. in Part -I declaring there in a the assessable value the price charged by the 1st petitioner-company to its five buyers namely, (i) Promar Sales Pvt. Ltd., Bombay; (ii) Selsar Marketing Pvt. Ltd., Delhi, (iii) Veldi Sales Pvt. Ltd. Calcutta; (iv) Associated Marketing Agencies, Madras; and (v) Associated Radio Agencies Bangalore by his letter dated 25th September, 1975 the Superintendent of Central Excise requested the 1st petitioner - company to give a list of its wholesale dealers and a declaration to the effect that ten the aforementioned wholesale dealers were not "related person" within the meaning of the new sec. 4 and to file a declaration accordingly. Thereupon on 1st October, 1975 the 1st petitioner-company addressed a letter to the Superintendent of Central Excise intimating that there were five parties who," from the past records " of the 1st petitioner- company were found to the be its buyers and to the whom the goods were sold by the 1st petitioner- company were found the be its buyers and to whom the goods were sold the by the 1st petitioner-company. in the the course of wholesale trade and gave the requisite declaration that none of the those buyers were" relate persons " within the meaning of the new sec. 4. BY his letter dated 6th October, 1975 the Superintendent (Tech). for and on the behalf of the Collector, permitted the 1st petitioner-company to clear the goods on furnishing B-13 Bond till the price lists were approved.