TaxTMI 
TaxTMI 
1987 (8) TMI 458
X X X X Extracts X X X X
X X X X Extracts X X X X
....he petitioner is a limited company carrying on business at Secunderabad and at some other places in India. The petitioner is engaged in the business of importing fertilizers. It represents some foreign principals for the sale of their products in India. The petitioner imports fertilizers into India which is an item purchased by the Central Government through the State Trading Corporation/Minerals and Metals Trading Corporation of India. In the course of its business the petitioner obtains the tenders from the State Trading Corporation Minerals and Metals Trading Corporation of India and passes them on to its principals abroad. Thereafter negotiations are carried on directly between the State Trading Corporation/Minerals Metals and Trading C....
X X X X Extracts X X X X
X X X X Extracts X X X X
....y the State Government was "shops". On inspection by the Insurance Inspector of the premises in which the petitioner was carrying on its business at Secunderabad it was found on 28.4.75 that the petitioner had employed persons ranging from 27 to 29 for wages within the relevant period and was carrying on the business of import of fertilizers. On being asked by the Employees' State Insurance Corporation to comply with the provisions of the Act the petitioner agreed that its business was covered by the Act in view of the notification issued by the State Government as it happened to be a "shop" and submitted contribution forms of its employees to the office of the Employees' State Insurance Corporation. After comply....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ot;shop" to which the Act was applicable by virtue of the notification issued by the State Government. Aggrieved by the decision of the High Court the petitioner has filed this petition under Article 136 of the Constitution requesting this Court to grant special leave to appeal against the decision of the High Court. 4. On behalf of the petitioner it is urged before us that since no goods were actually being delivered in the premises in which the petitioner was having its establishment the said establishment could not be treated as a shop which is referred to in item 3(iii) of the Government's notification. The word "shop" is not defined in the Act or in the notification issued by the State Government. According to the ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....r should take place at the premises in which the business of buying or selling is carried on to constitute the said premises into a "shop". The delivery of the goods sold to the purchaser is only one aspect of trading activities. Negotiation of the terms of sale, carrying on of the survey of the goods imported, arranging for the delivery of the goods sold, collection of the price of the goods sold etc. are all trading activities. The premises where business is carried on by the petitioner is undoubtedly a shop as the activities that are carried on there relate only to the sale of goods which are imported into India. The petitioner acts as the agent of its foreign principals who are the sellers. The petitioner directs and controls ....