Extended period of limitation cannot be invoked on a legitimate buyer
The CESTAT, Kolkata in M/s Jai Balaji Industries Limited v. Commissioner of Central Excise had set aside the order demanding excise duty and held that the buyer who has paid a valuable consideration could not be proceeded upon by taking the aid of a larger period of limitation as per Section 11A(1) of the Central Excise Act, 1944 unless it is proved that the buyer was also involved in fraud.