ASHWANI KUMAR MISHRA,J. - (1.) This revision questions an order passed by Tribunal disallowing benefit to the assessee in respect of alleged transfer of stock during transit. The assessee claimed benefit of proviso to Section 6 of the Central Sales Tax Act, 1956 to contend that goods of Rs. 4,55,024/- had been transferred to third parties, while the stock itself remained in transit, and had not been received by the assessee. The Tribunal has noticed the facts, as have been placed before it, and following two reasons appear to have prevailed for disallowing claim: (i) There was a gap of about 3 and 1/2 months in the alleged transfer of goods to the third parties and the movement of stock itself. (ii) That the assessee had endorsed the receiving of goods in its stock register and as such it could not be treated to be stock in transit.
(2.) Learned counsel for the revisionist has urged that any delay in sale of goods during transit, would be material and for such purpose, has relied upon a judgement of this Court in Vijay Engineering Corp., Bijnor v. Commissioner of Sales Tax, U.P., Lucknow, 2005 NTN (27) 394. It is also submitted that goods in transit had been received by the assessee, and prior to its receiving, the goods were transferred to the third parties who received the goods directly from the transporter.
(3.) Learned Standing Counsel, on the other hand, submits that the finding contained in the order of the Tribunal that the assessee had endorsed the entry of receiving of goods, in his books of accounts, has been questioned, and if that be so, then the assessee's plea that he had received the goods from the transporter, cannot be sustained.;