2010 (9) TMI 200

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....ha Aggarwal and Mr. Somnath Shukla, Advocates A.K. SIKRI, J. (ORAL) 1. Notice in this appeal was issued limited to question No.(c) which pertains to allowing loss of Rs. 5.90 crores claimed on account of expenses/payment made by the assessee. 2. The Department of Fertilizers, Ministry of Chemicals and Fertilizers, Government of India had awarded a contract to M/s. Paradeep Phosphates Ltd.....

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....rther obligation was cast upon MMTC to open a Letter of Credit in the name of Department of Fertilizers and also on behalf of PPL. Agreement also provided that on receipt of sale note from PPL, MMTC would hold the title over the above material and thereafter it shall dispose of the material through its own distributors in the concerned States as per the guidelines of Government of India/State Gove....

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....scribed in the tender format (as amended from time to time) by the DOF, Ministry of Chemicals & Fertilizers for handling and distribution of imported UREA during 95-96 vide their letter No. 1-1/95/FA-Urea dated 16.3.95, a copy of which was also handed over at the time of discussions shall be applicable to MMTC on back to back basis. In case DOF instruct PPL not to operate through consignment agent....

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....sessment is finalized shall be to the account of MMTC. Further as per rules prevailing in the states of operation w.r.t. sales tax formalities, MMTC is required to take the sales tax registration under both local ST/CST though PPL would be giving tax paid invoices to MMTC in the states where product is taxable at first point of sale. 21. MMTC would pay to PPL a service charges of Rs. 7.5/- PMT ....