PR. CIT-06 vs. M. SONS GEMS N JEWELLERY PVT. LTD. (FORMERLY: M SONS ENTERPRISES PVT. LTD.) C/O SSAR & ASSOCIATES,

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ITA/9/2016HC DelhiDLHC01602750201525 April 2016Bench: HON'BLE DR. JUSTICE S.MURALIDHAR,HON'BLE MR. JUSTICE VIBHU BAKHRU2 pages
AI SummaryDismissed

What did the High Court hold?

The High Court held that no substantial question of law arises from the order of the CESTAT, given the concurrent findings of the appellate authorities. The Court noted that the Commissioner (Appeals) had considered objective circumstances, including the existence of a second unit and its independent claim for exemption, along with statements and tax returns. The CESTAT had endorsed this view. Consequently, the appeal was dismissed on two grounds: the significant delay in filing and on merits. The pending applications were also dismissed along with the appeal.

What were the facts?

The Commissioner of Central Excise, Delhi-I (Petitioner) filed an appeal before the High Court of Delhi against an order of the CESTAT. There was a delay of 568 days in filing the appeal. The core issue involved whether the respondent/unit, Premier Color Cartons Pvt. Ltd., had made a false claim of exemption by showing clearances of a sister concern. The adjudicating officer had considered this fact. However, the Commissioner (Appeals) had taken note of objective circumstances, including the existence of a second unit during 2003-05 and its independent claim to be an exempted manufacturing concern. The appellate authority also considered statements of individuals and sales tax and income tax returns for the relevant period, leading to the overturning of the adjudicating authority's decision. The CESTAT endorsed this opinion.

What were the issues?

1. Whether a substantial question of law arises regarding the respondent/unit indulging in a false claim of exemption by showing clearances of a sister concern, given the concurrent findings of the appellate authorities. Assessee's Contentions: The judgment does not record any specific contentions made by the respondent (assessee). The High Court observed that the Commissioner (Appeals) and CESTAT had gone into the matter in detail. Revenue's Contentions: The Petitioner (Revenue) urged that the respondent/unit indulged in a false claim of exemption by showing clearances of a sister concern. The Petitioner filed the appeal against the CESTAT's order.

AI-generated summary — verify with the full judgment below

$~1 * IN THE HIGH COURT OF DELHI AT NEW DELHI +

CEAC 9/2016, CM APPL.31742-31745/2016

COMMISSIONER OF CENTRAL EXCISE, DELHI-I ..... Petitioner Through: Mr. Amit Bansal with Ms. Surabhi Mehta, Advocates.

versus

PREMIER COLOR CARTONS PVT. LTD. ..... Respondent

Through: None.

CORAM: HON'BLE MR. JUSTICE S. RAVINDRA BHAT HON'BLE MS. JUSTICE DEEPA SHARMA

23.09.2016 O R D E R

There is a delay of 568 days in filing the appeal. On this ground alone, the appeal is liable to be dismissed. Besides we find that question of law urged, i.e., whether the respondent/unit indulged in false claim of exemption by showing clearances of a sister concern, was gone into in detail by both the appellate authorities. Undoubtedly the adjudicating officer considered this fact. However, it is apparent from the record that the Commissioner (Appeals) took note of objective circumstances such as the proven existence of the second unit in 2003-05 and its independent claim to be an exempted manufacturing concern. Particularly the appellate authority took note of the statements of different individuals and crucially the sales tax and income tax returns filed for the relative period. Consequently, the

adjudicating authority’s decision was overturned by the Commissioner (Appeals). The CESTAT endorsed that opinion.

We are of the view that no substantial question of law arises given the concurrent findings. The appeal is, therefore, dismissed both on the issue of delay as well as on merits, along with pending applications.

S. RAVINDRA BHAT, J

DEEPA SHARMA, J SEPTEMBER 23, 2016 /vikas/

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