JMT AUTO LTD Vs. STATE OF JHARKHAND

JUDGEMENT

(1.) Heard.

(2.) This writ petition has been filed for release of capital investment subsidy of Rs. 5.00 crores in favour of the petitioner in terms of the Industrial Policy and Mega Policy.

(3.) It is submitted by Mr. M.S. Mittal, learned counsel appearing for the petitioner, that the petitioner has invested additional amount of Rs. 86.94 crores in the industry falling under the category of "Mega Project" situated in one of the scheduled area. He further submitted that in the meeting held on 15.1.2008 in presence of the Chief Secretary, Finance Secretary, Industries Secretary and the Director of Industries, Jharkhand, recommendation was made for disbursement of the said subsidy in favour of the petitioner industry and other industries. He further pointed out that the Industries department recommended the matter of disbursement to the cabinet on 20.12.2008. While making such recommendation, it was also said that funds are available and the recommendation of the Finance department was also taken, but even then the amount was not disbursed, and the funds of 2008-09 lapsed. He further submitted that if the amount of subsidy is not disbursed immediately, the fund of this year i.e. 2009-10 will also lapse; and that as per the policy, the amount was to be disbursed within three months from the date of production but even after long lapse of time from the date of production, the amount in question has not been disbursed due to which the petitioner has to pay heavy amount on account of interest to the financial institutions. He also submitted that petitioner's claim was recommended on 15.1.2008 i.e. prior to the recommendation of other claims and that on 15.1.2008, only three claims were recommended-one of General area and two of Scheduled area including the petitioner and, therefore, priority should be given as per the dates of recommendations. He further submitted that it is not known what decision has been taken on other claims.