JAIPRAKASH ASSOCIATES LTD Vs. STATE OF GUJARAT

JUDGEMENT

(1.) The petitioner is before this Court praying for quashing an Order dated 18th May 2010 passed by the Committee for Resolution of Disputes declining the request of the petitioner to grant tax exemptions under the scheme formulated by the State Government under its Resolution dated 9th November 2001. The petitioner has also challenged the communication dated 14th March 2011 of the State Government rejecting such a request. By way of consequential direction, the petitioner has prayed for a mandamus to the respondents to extend the benefit of the said Incentive Scheme of 2001, after condoning delay in commencement of commercial production by the petitioner. In the alternative, the petitioner has prayed that the date of commencement of commercial production under the Incentive Scheme of 2001 be extended.

(2.) The petition arises in the following factual background :-

(3.) On 26th January 2001, the State of Gujarat and in particular, Kutch District, was affected by a devastating earthquake. In order to attract investment and to re-start the industrial development which had suddenly got stalled on account of massive earthquake, the State Government vide its Order dated 9th November 2001 framed the Sales Tax Incentive Scheme [hereinafter referred to as, "the Scheme of 2001"]. To the detailed provisions of such Scheme, a reference would be made at the later stage. Suffice to note that the Scheme was brought into effect from 31st July 2001 and was to remain in force till 31st October 2004. The industrial units which commenced their commercial production latest by 31st October 2004 were to be granted certain sales tax benefits.