USHA BELTRON LTD Vs. STATE OF PUNJAB

JUDGEMENT

(1.) This appeal is against the order of the High Court of Punjab and haryana at Chandigarh dated 29-11-1999.

(2.) Briefly stated, the facts are as follows: the Department of Telecommunications, Government of India, called for tenders and issued contracts for supply of PIJF underground cables to various manufacturers including the appellant. As per the bid document various stations of the Department of Telecommunications directly placed purchase orders on the appellant for supply of the cable. Those purchase orders were construed as contracts.

(3.) Pursuant to such purchase orders, the appellant was manufacturing and then transporting the cables to the various stations which had placed the orders. The Municipality to which the goods were being transported claimed octroi on the goods. According to the appellant, octroi was not payable as these goods belonged to the Government of India. The appellant claimed that by virtue of clause 12 of Notification No. 3/3/99-LIII-6555 dated 1-6-1999 all goods belonging to the Government of India were exempted from payment of octroi. As the Municipalities insisted on payment of octroi, a writ petition was filed in the High Court. The Punjab and Haryana High Court has by a very short order dismissed the writ petition.