Small scale exemption denied where goods bore another person's monogram indicating a trade connection.

Small scale exemption under Notification No. 16/97-C.E. was unavailable where the goods bore a monogram or other mark indicating a trade connection with another person. The notification treated brand name broadly to include a name, symbol, monogram, label or similar identifier used in the course of trade, and even partial use of another's brand or trade name was sufficient if it conveyed such connection. Because the manufactured goods carried the monogram of another concern, the use attracted the prohibition in the notification and disentitled the claimant to the exemption.

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Issues: Whether the benefit of Small Scale Exemption Notification No. 16/97-C.E. dated 01.04.1997 was available where the goods bore a monogram indicating a connection with another person.

Analysis: The exemption was unavailable if the specified goods bore the brand name of another person. The notification defined brand name broadly to include not only a name but also a mark, symbol, monogram, label or similar identifier used to indicate a connection in the course of trade with some person. The goods manufactured by the respondent carried the monogram of another concern, and that use attracted the mischief of the notification. Even use of part of a brand name or trade name is sufficient if it indicates such a trade connection.

Conclusion: The benefit of the small scale exemption was not available to the respondent and the Revenue succeeded.

Ratio Decidendi: A person is disentitled to small scale exemption where the goods bear any mark, symbol or monogram that, even in part, indicates a connection in the course of trade with another person.

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