Tribunal Finds No Duty Evasion in Related Party Transaction, Validates Valuation Methodology and Dismisses Revenue Claim

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....CESTAT adjudicated a central excise duty dispute involving alleged undervaluation of finished products sold to a related unit. The tribunal examined prior proceedings and found no substantive evidence supporting claims of intentional duty evasion. Critically, the tribunal determined the appellant's value addition and duty payments were legitimate and consistent. The tribunal concluded that the revenue demand was unsupported, effectively rendering the allegations baseless. Given the revenue-neutral nature of the transactions and precedent established in the appellant's previous case, the tribunal allowed the appeal, setting aside the original duty demand and affirming the appellant's valuation methodology.....