SSI exemption and extended limitation in excise turned on brand-name use and North-East unit relief.

The dispute concerned whether the department could apply the extended limitation period for an excise demand and whether SSI exemption was available despite an allegation that the goods were made under another's brand name. The order records that the assessee relied on the North-East exemption scheme and maintained that the Gulab brand was adopted only from 1 December 2006, while the department relied on contrary statements to deny exemption for branded goods. The Court noted, prima facie, that the department had not discharged the burden of proving brand use before that date, but the relevant notification for North-East units was not immediately available, so the hearing remained inconclusive and the matter was listed again.

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Issues: Whether the department could invoke the extended period of limitation for the excise demand, and whether the assessee was entitled to SSI exemption despite the allegation that its goods were manufactured under another's brand name.

Analysis: The order records that the assessee had set up its unit in the North-East and relied on the exemption scheme said to apply to such units, which was relevant to the question of alleged intent to evade duty. It also records the assessee's consistent stand that the Gulab brand was adopted only from 1 December 2006, while the department relied on contrary statements to deny SSI benefit under the notification governing branded goods. The Court noted that, prima facie, the department had not discharged the burden of proving use of the brand name before 1 December 2006. However, the appropriate notification governing exemption for North-East units was not immediately available.

Outcome: Hearing could not be concluded and the matter was directed to be listed again.

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