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TMI Blog2001 (12) TMI 848X X X X Extracts X X X X X X X X Extracts X X X X ..... ax in pursuance of the industrial policy and the incentive code issued by the State Govern ment on March 30, 1989. The request was accepted. On December 6, 1991, an eligibility certificate was issued in favour of the petitioner by the General Manager, District Industries Centre, Ludhiana. It was certified that the petitioner "is eligible to take sales tax/purchase tax (exemption) for 10 years from March 30, 1991 to March 30, 2001 up to 8 crores of rupees". Even a letter to this effect was sent by the General Manager to the Assistant Commissioner, Excise and Taxation Department in January, 1992. 2.. On April 21, 1995, the Excise and Taxation Commissioner issued an exemption certificate under the provisions of the Punjab General Sales Tax ( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t annexure P12 with the writ petition. The petitioner complains that the order is not in conformity with the rules. Thus, the petitioner claims that the order be quashed and exemption of Rs. 8 crores be granted. 5.. The respondents contest the petitioner's claim. A written statement has been filed on behalf of respondent Nos. 2 to 4 Department of Excise and Taxation, by Mr. H.S. Heera, Excise and Taxation OfficercumAssessing Authority, Ludhiana. In this reply, it has been, inter alia averred that under the Industrial Policy the petitioner was entitled to "an exemption up to the limit of Rs. 6 crores onlyThe Department of Industries either should get the approval of the Council of Ministers to amend the basic Industrial Policy 1989 to make ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tended that the State Government had framed an Industrial Policy and Incentive Code in the year 1989. For the implementation of the policy, the Government had notified detailed rules. In the rules, a specific provision for grant of exemption from payment of sales tax/purchase tax to the extent of Rs. 8 crores was made in paragraph 6.2. It was specifically provided as under: 6.2. Quantum of entitlement (1) Sales/purchase tax exemption or sales tax deferment shall be available to units in different growth areas subject to maximum benefits to be regulated as per Table I. TABLE I Maximum benefit of sales/purchase tax exemption and sales tax deferment Growth area Smallscale Medium large Total timelimit category industry scale wit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ced alongwith the note). 4.. In pursuance to the decision of the Government conveyed vide letter dated October 24, 1989, the Government of Punjab in the Department of Industries had issued a notification dated November 9, 1989. By this notification, rule 6.2. was amended. 11.. An extract from the office noting has also been produced. A perusal of the notification dated November 9, 1989 shows that various provisions of the rules had been amended. In particular, it may be mentioned that rule 6.2. was amended as follows: Amendment of rule 6.2.: In table I under rule 6.2. of the Punjab Industrial Incentives Code under the Industrial Policy Scheme, 1989, under column 3 (against the entry No. Industry block) the figure Rs. 8 crores shall ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ew of this amendment, as notified by the Govern ment, no industrial unit could have been granted exemption from payment of sales tax/purchase tax beyond the limit of Rs. 6 crores. Thus, no industrial unit, including the petitioner, could have claimed exemption beyond Rs. 6 crores. 15.. It has been pointed out on behalf of the petitioner that an eligibility certificate was issued on December 6, 1991. By this certifi cate, the petitioner was held entitled to the grant of exemption "upto 8 crores of rupees". Still further, it has also been pointed out that even in response to the Civil Writ Petition No. 10325 of 1997 filed in this Court it, was not pointed out that the rule had been amended vide notification dated November 17, 1989. In fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... artment of Industries. Neither the Directorate, nor the officers of the Govern ment have cared to see the notification which had been issued in the year 1989. A cursory perusal of the file would have shown that the industrial policy had prescribed a limit of Rs. 6 crores. The rule had been framed to implement the policy, containing the provision for grant of exemption up to Rs. 8 crores. There was an apparent mistake. If the concerned officer had cared to apply his mind and examine the file, it would have been clear that the mistake had been duly noticed. Remedial measures had been adopted. The requisite correction had been made. It is only on scrutiny of the records during the course of proceedings in this Court that the correct position h ..... X X X X Extracts X X X X X X X X Extracts X X X X
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