Own registered trade mark cannot be treated as another person's brand name for SSI excise exemption.

A manufacturer is denied the small-scale excise exemption under Notification No. 175/86-C.E. only where the goods bear the brand name or trade name of another person who is not eligible for the benefit. Where the mark used is the manufacturer's own registered trade mark, the exclusive right under the trade mark law means it cannot be treated as another person's brand name for Clause 7 purposes. On that basis, use of the registered mark did not disqualify the unit from the exemption, and the show-cause notices were liable to be quashed.

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Issues: Whether the petitioner was disentitled to the small-scale excise exemption under Notification No. 175/86-C.E. dated 1st March, 1986 on the ground that the goods bore a brand name or trade name of another person who was not eligible for the exemption.

Analysis: The exemption under the notification is denied only when the manufacturer affixes the goods with the brand name or trade name of another person who is ineligible for the benefit. The petitioner had registered the mark "Vulcan" in its own name under the Trade and Merchandise Marks Act, 1958 and, by virtue of Section 28, had the exclusive right to use that mark in relation to the registered goods in India. In such circumstances, the mark used on the goods was the petitioner's own registered brand name, and it could not be treated as the brand name or trade name of another person for the purpose of Clause 7 of the notification.

Conclusion: The petitioner was entitled to the exemption and the show-cause notices were liable to be quashed.

Ratio Decidendi: A manufacturer who uses its own registered trade mark in India does not affix the goods with the brand name or trade name of another person within the meaning of the SSI exemption notification.

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