STATE OF JHARKHAND Vs. BIR STEEL (P) LIMITED

JUDGEMENT

(1.) Heard Sri Ajit Kumar, learned Advocate General for the appellants State and Sri Sumeet Gadodia, learned counsel for respondent company.

(2.) Aggrieved by the Judgment dated 23.3.2012, passed by the Hon'ble Single Judge in W.P.(C). No. 3359 of 2011, whereby the writ application filed by the respondent company was allowed, setting at naught Rule 4.3 (Gha) (1) and (2) of the Jharkhand Industrial Incentive Rules, 2003, and quashing the order dated 24.12.2010 bearing Memo No. 2869, as contained in Annexure-2 to this memo of appeal, issued by the appellant No. 3, the appellant State has preferred this Letters Patent Appeal.

(3.) The facts of this case may be stated thus. Upon creation of the state of Jharkhand on 15th of November, in the year 2000, the State Government, in its Department of Industries, formulated its industrial policy in the year 2001, known as Jharkhand Industrial Policy, 2001, with an object of optimal utilization of the available resources of the State in a planned manner, to accelerate the industrial development of the State, and to capitalize the industrial potential through planned utilization and development of natural and human resources and to gradually increase the employment opportunities. The objectives of the industrial policy included, inter alia, 'to encourage and involve private sector participation in the process of planned and rapid industrialisation of the State'. In the industrial policy formulated by the State Government, various incentives were proposed to be given to the newly established industries, and Clause 29.5 of the industrial policy provided for 'Interest Subsidy' to the newly established industries, which was aimed to encourage the industries to their continuous growth, and it was to be given for a period of 5 years from the date of starting commercial production. Clause 29.5 of the Jharkhand industrial policy reads as follows:-