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2010 (8) TMI 838 - HC - VAT and Sales TaxIssuance of a writ of mandamus directing the respondents to release reimbursement due to the petitioner under the Freight Neutralization Scheme with effect from April 1, 2003 - also to adjust interest-free loan instalment due from the petitioner to the respondents against the aforesaid reimbursement due and restraining them from seeking repayment of instalments of interest-free loan on balance amount Held that:- It is not the case of the petitioner that it is going through the lean phase or has financial problems in returning the interestfree loan. The petitioner does not intend to return the loan, which was disbursed to it during the period 1993 to 1995, which it had utilized till December, 2004, without paying any interest. It has harvested fruits of interest-free investment and the claims made by the petitioner show that it is doing good business. The effort is, thus, not to return the loan, but to usurp the same. The State which is facing a financial crunch and is unable to fund the development schemes cannot be burdened with such unjustified claims especially when the agreements entered into between the petitioner and the State Government at the time of disbursement of loan are very clear and specific, which the petitioner and respondent/State are bound to comply with. Despite violating the terms and conditions of the agreements, the petitioner is resorting to ways and means to avoid repay ment of interest-free loan. The court cannot be a tool and means in such an unholy endeavour, which the petitioner has intended to venture through the present writ petition. Appeal dismissed.
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