Dipak Kumar Sen, J. - (1.) M/s. Ascu Hickson Limited have initiated the pre-sent reference under Section 21(1) of the Bengal Finance (Sales Tax) Act, 1941. The West Bengal Commercial Taxes Tribunal has drawn up a statement of case and has referred the following questions for the opinion of this Court as questions of law arising out of its order: (i) Whether, on a proper interpretation of the agreement dated 1st January, 1964, executed between the applicant and M/s. V.D. Swami & Co. Pvt. Ltd., the relationship between the applicant and M/s. V.D. Swami & Co. Pvt. Ltd. was that of a vendor and vendee. (ii) Whether the despatches outside West Bengal made by the applicant of goods valued at Rs. 4,15,964.34 against orders secured by M/s. V.D. Swami & Co. Pvt. Ltd. were sales within the meaning of the Sale of Goods Act and the Central Sales Tax Act.
(2.) The facts found and/or admitted in the proceedings are, inter alia, that under an agreement dated 1st January, 1964, entered into by and between M/s. Ascu Wood Products, the predecessor-in-interest of the applicant, and one M/s. V.D. Swami & Co. Pvt. Ltd. of Madras, the latter was appointed the sole selling agent of the applicant with effect from 1st September, 1963, for selling of products manufactured and services provided by the Ascu Wood Products on, inter alia, the following terms and conditions:
(3.) The agent would sell the products and services of the manufacturers and would within seven days of the receipt of such orders forward them together with an advance amounting to 25 per cent of the quoted price to the manufacturers for the fulfilment of the said orders, but where agreed or staggered deliveries might be spread out over a period exceeding 4 months any advance under the clause would be liable to be paid only on the value of agreed or staggered deliveries of products or services for the first 4 months of such period.;