Sale of goods on hire purchase basis during transit amounts to deemed sales; eligible for CST exempt

CST & VAT : Where assessee, a Government of India undertaking, promoted small-scale industries by providing financial and business assistance to manufacturers in Tamil Nadu and it purchased machineries purchased from outside Tamil Nadu and sold same to above manufacturers while in transit on hire purchase basis, there was deemed sale in instant case and further since there was an endorsement of title to goods while in transit, assessee was entitled to exemption under section 3(b) of Central Sale