2017 (4) TMI 370

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....ssioner (AR), for the Respondent. ORDER [Order per : Raju, Member (T)]. - This appeal has been filed by M/s. Manugraph India Ltd. (MIL in short). M/s. MIL had entered into a technical know-how and technical service agreement with Polygraph Export Import, Berlin on 25-2-1988. Polygraph Export Import, Berlin are collaborator with MIL and hold 40% shares. In the technical know-how agreement Rs. 14 ....

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....nents from others also and not merely from the foreign collaborator. In these circumstances, learned Counsel argued that technical know-how fee is not includible in the assessable value. 3. Learned AR relies on the impugned order. 4. Perusal of the agreement shows that Clause 2.1.1 under heading obligation of AHB (foreign collaborator) reads as follows : "2.1.1 AHB shall give to ....

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....open to MIL to import the goods from anybody. The parts, units and sub-assemblies which are to be imported from their foreign collaborators and from other has to be decided jointly in terms of the agreement. The use of word "shall" in the Clause 2.1.1.3 clearly indicates that without the consent of foreign collaborator, the appellant cannot procure goods from other sources. Thus, it can be seen th....