1969 (2) TMI 161

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... with him), for the respondent.   C.B. Agarwala, Senior Advocate (O.P. Rana, Advocate, with him), for the respondent.   --------------------------------------------------   The judgment of the court was delivered by   GROVER, J.-This is an appeal by special leave from the judgment of the Allahabad High Court in a reference made under section 11 of the U.P. Sales Tax....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ry quota-holder has to surrender 3 per cent. profit to the syndicate. The syndicate was allowed a margin of 3 per cent. profit in addition to the 3 per cent. margin of profit originally allowed to the importers. The cloth was to pass from the importing agency direct to the retailers who had deposited money with the importing agency and who were entitled to obtain the cloth from specified godown or....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ficer rejected this contention and held that the syndicate had sold the stocks which remained with it at a price at which it would have been sold to the retailers. It was found that the syndicate in the sale invoices issued to its members had charged a profit over and above the price of the cloth in the same manner as any retailer would have been charged. The Judge (Appeals) upheld the order of as....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....uld be no sale by one entity to itself. This point does not appear to have been agitated before the departmental authorities. Moreover the facts as they appear in the various orders are altogether meagre about the constitution of the syndicate. It is not even clear whether it got itself registered under the Indian Companies Act, 1913. In the absence of proper facts which could be established befor....