TaxTMI 
TaxTMI 
2007 (5) TMI 69
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....dent was neither consignment nor clearing agent nor forwarding agent nor the services provided by a consignment agent had been made taxable. Commenting on the agreement entered into by the respondent with Bayer ABS Ltd. and ADH Agencies, the Commissioner held that, the respondent was a consignment stockist. Accordingly the demand for Service Tax was dropped along with penalty imposed by the Deputy Commissioner in the order-in-original dated 7-3-2005. 2. The learned DR for the appellant relied upon the decision of the Larger Bench of this Tribunal in Medpro Pharma Pvt. Ltd. v. CCE, Chennai reported in 2006 (3) S.T.R. 55 (T-LB), according which even if some of the activities concerning clearing or forwarding could be spotted, a person beco....
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....n the said product or any part thereof after delivery of the said product is taken by the distributor or for any delay on supply of the said products caused by any circumstances beyond its control. The distributor, however, accepts full responsibility for any damages which may be incurred in respect of consignments of the said products despatched by rail, road, air or water provided it is not due to the fault of the Company." "22. While effecting sales of the said products the distributor shall disclose that he/it is a distributor of the Company, though, however, he/it shall effect sales of the said products on his/its own bill forms. Accordingly, the distributor alone shall be responsible for discharging all the liabilities attracted un....
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....patched by rail, road, air or water." 5. A plain reading of these two agreements amply make it clear that the consignment agent is also responsible for the movement of goods dealt with by him in the manner as prescribed in various clauses of the said agreements which in our opinion, would fully qualify them to be a C&F agent. It has been explicitly stated in the said agreements that the Company i.e. Bayer ABS Ltd. and SRF Polymers Ltd. shall not be liable for any short delivery of/or damages to the said products after delivery of the said products is taken by the respondent consignment agent or for any delay for supply to others. We thus find a situation identical with Medpro Pharma decision in which the Larger Bench of this Tribunal had....