2011 (8) TMI 996

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...." were brought to Kerala and sold by M/s. Videocon International Ltd., to the review petitioner, which in turn made sales of the products to the market. Section 5(2) of the Kerala General Sales Tax Act (hereinafter referred to as "the Act", for short), the constitutional validity of which is upheld by this court, authorises levy of tax on branded goods at the point of sale by the brand name holders treating such sales as deemed first sales by virtue of the fiction available under section 5(2) of the Act. From the very beginning the review petitioner took the stand that it is not a subsidiary of M/s. Videocon International Ltd., which was stated to be the exclusive brand name holder of the products. However during hearing of the revision cas....

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....ion that strictly the review petitioner is not a subsidiary of M/s. Videocon International Ltd., under the definition clause of the Companies Act, he has honestly admitted the following in paragraph 2 of the affidavit. "I say and submit that Kitchen Appliances (India) Ltd., now name changed to KAIL Ltd., is a public limited company and Dhoot family, directly or indirectly, through various group companies are having shareholding control in respondent-company as per the facts and various filings with the regulatory authorities." Further statement in paragraph 5 of the affidavit is as follows: "I further say that Dhoot brothers are also promoters of Videocon International Ltd." Similarly in paragraph 6 it is conceded that, Videocon....

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....e 30, 2006, 100 per cent shares of Kitchen Appliances India Ltd., are held by the Dhoot family. It is further stated that the review petitioner was established to manufacture small appliances and manufactures colour TVs, refrigerators and washing machines and sells on an OEM basis and under the "Kelvinator" and "Sansui" brands and sells the majority of the products to third parties. What is clear from the above is that the review petitioner was engaged in manufacturing of all products for "Sansui" brand and the said brand name itself is acquired by M/s. Videocon International Ltd., which in turn gave the brand name right to the review petitioner. In the companies controlled by the Dhoot family charted at page 109 of the website publication,....