Janata Rubber and Engg. Works Vs. Commissioner of Central Excise - Court Judgment

Excerpt:
1. the appellants are engaged in the manufacture of tanks/containers.in order to distinguish their goods from others, they obtained registration for a logo as "vr" for the goods and got the same registered with the trade marks authority and used the same on the excisable goods cleared by them. the officers of the department visited the unit, checked the records and made out a case demanding duty by issue of show cause notice dtd.31/01/1997, demanding duty for the period 1993/94, 1994/95, 1995/96, 1996-97 (upto december 1996). the matter was adjudicated by the commissioner, who confirmed the demands imposed equivalent penalty under section 11ac and penalty on the company and fine in lieu of confiscation of plant, building and machinery. hence this appeal. (a) the commissioner has found that the brand name 'vr' is not owned by the appellants and was claimed to be of m/s. versova rubber, who are also manufacturers and fabricators of similar goods as was alleged in the show cause notice. while considering the submission of the present appellants, it was observed that the application for registration of the trade mark as claimed to be filed by the appellants was made in the name of m/s. janata rubber works c/o r.a. tembulkar, shankar chawl, bhardawadin, andheri, mumbai - 400 058 and no where in this application a mention was made that it was for the use of the appellants herein and at the address as in these proceedings. therefore, the charges made in the show cause notice were confirmed. (b) the appellants have now produced a certificate from trade mark authorities registry no. 214676 dtd.31/07/1998 for the marks 'vr' to be used in respect of rubber lining for tank vehicle issued in the name of ramesh n. parsekar, proprietor of janata rubber & engineering works, 8, wakharia industrial estate, ram mandir road, goregaon (w), mumbai - 200 104 as manufacturers, as merchants. since this certificate was not before the lower authority. the matter is required to be remitted back to the commission for re-adjudicating the issue, as regards the ownership of the trade mark in question. (c) while re-adjudicating the matter in the denovo proceedings, the commissioner should also consider the plea made before us, as regards the eligibility of the notification issued under section 11ac viz.no.27/2002 dtd.23/07/2002.3. in view of the our finding, the appeal is allowed as remand for denovo adjudication.

Judgment:
1. The appellants are engaged in the manufacture of Tanks/Containers.

In order to distinguish their goods from others, they obtained registration for a logo as "VR" for the goods and got the same registered with the Trade Marks Authority and used the same on the excisable goods cleared by them. The officers of the department visited the unit, checked the records and made out a case demanding duty by issue of Show Cause Notice dtd.31/01/1997, demanding duty for the period 1993/94, 1994/95, 1995/96, 1996-97 (upto December 1996). The matter was adjudicated by the Commissioner, who confirmed the demands imposed equivalent penalty under Section 11AC and penalty on the company and fine in lieu of confiscation of plant, building and machinery. Hence this appeal.

(a) The Commissioner has found that the brand name 'VR' is not owned by the appellants and was claimed to be of M/s. Versova Rubber, who are also manufacturers and fabricators of similar goods as was alleged in the Show Cause Notice. While considering the submission of the present appellants, it was observed that the application for registration of the trade mark as claimed to be filed by the appellants was made in the name of M/s. Janata Rubber Works C/o R.A. Tembulkar, Shankar Chawl, Bhardawadin, Andheri, Mumbai - 400 058 and no where in this application a mention was made that it was for the use of the appellants herein and at the address as in these proceedings. Therefore, the charges made in the show cause notice were confirmed.

(b) The appellants have now produced a certificate from Trade Mark Authorities Registry No. 214676 dtd.31/07/1998 for the marks 'VR' to be used in respect of Rubber lining for tank vehicle issued in the name of Ramesh N. Parsekar, Proprietor of Janata Rubber & Engineering Works, 8, Wakharia Industrial Estate, Ram Mandir Road, Goregaon (W), Mumbai - 200 104 as manufacturers, as merchants. Since this certificate was not before the lower authority. The matter is required to be remitted back to the Commission for re-adjudicating the issue, as regards the ownership of the trade mark in question.

(c) While re-adjudicating the matter in the Denovo proceedings, the Commissioner should also consider the plea made before us, as regards the eligibility of the notification issued under Section 11AC viz.No.27/2002 dtd.23/07/2002.

3. In view of the our finding, the appeal is allowed as remand for Denovo adjudication.