CESTAT Quashes Excise Demand on Uttarakhand Unit Transfer, Holds Ownership Change & Relocation Do Not Defeat Area-Based Exemption

Sun Home Appliances Private Limited Vs Additional Director General (CESTAT Delhi) Conclusion: The entire demand of excise duty, interest, and penalties for alleging that assessee was merely a proxy entity created by Noble Industries to fraudulently extend the exemption period beyond its permissible tenure was set aside as exemption notification and CBEC Circulars expressly permitted manufacture of new products, relocation of eligible units within notified areas, and transfer of ownership without affecting exemption eligibility. Held: Assessee-company was engaged in manufacture of washing mach...