- (1.) The question in these appeals is whether the appellant is entitled to the benefit of Notification No. 175/86-CE dt. 1.03.1986 which granted exemption to small-scale industries. The appellant manufactures dant manjan under the name and style of M.D.H. That brand name is admittedly owned by M/s Mahashiyan Di Hatti Pvt. Ltd. According to the appellant, the appellant was using the brand name under an agreement with the owner whereunder the appellant was liable to pay royalty by way of consideration for such use. The owner of the brand name itself does not manufacture dant manjan but manufactures masalas.
(2.) The notification in question permits small-scale industries certain benefits provided, inter alia, they do not use the brand name of someone else who is not entitled to exemption under the notification. The owner of the brand name was not paying any excise duty during the period prior to 24.01.1989 on the ground, according to the appellant, that the goods manufactured by the owner were exempt. The owner, however, was not registered as a small-scale industry till 24.01.1989.
(3.) Four show-cause notices were issued to the appellant, the particulars whereof are as under: Date of notice Period 28-11-1988 1-5-1988 to 31-10-1988 6-12-1988 1-10-1987 to 30-5-1988 30-1-1989 1-11-1988 to 3-12-1988 3-8-1989 1-4-1989 to 10-5-1989;