E-1 sales u/s 6 (2) of cst act

Facts :  Dealer is registered in Maharashtra (Mumbai) has placed order at Vapi (Guj), want to transfer the same goods to other dealer registered at Gujrat (Baroda) can sale the goods in transit u/s 6 (2) of CST act. i.e. without any tax ??

            Here Vapi dealer sales @ 2% CST to Mumbai dealer & Mumbai dealer Sales in transit to Baroda dealer u/s 6 (2) ?

            Vapi dealer issue E-1 form to Mumbai dealer, Mumbai dealer issue C Forms to Vapi dealer & collect "C" forms from Baroda dealer (He is end consumer) will it be O.K ?

            Goods is being directly send by Vapi to Baroda (In L.R. Copy consignee name -Baroda Party & Consigner name Vapi party (on a/c of Bombay party) will it be o.k. ?

           Expl. 2 to s-3 (2) which give reference to movement complete in same state, will be attracted here ?

         I feel that condition is only Occasion of goods movement for Inter-state sale (the movement goods is being handed over to carrier) for interestate sale and further sales of the same goods during their movement for interstate sale  for the benifit of S-6 (2).

         Please guide & correct documets position to be maintained by mumbai dealer.