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2014 (8) TMI 1224 - HC - Indian LawsImplementation of Revised Rehabilitation Scheme sanctioned by BIFR - import and implication of concessions envisaged by BIFR at clause 8 of page 7 of the Modified Scheme - Petitioners' case is that the concession envisaged is for the entire period of rehabilitation from 1.7.1995 to 30.6.2002 whereas opposite parties insist that IPISTEEL is entitled to concession there under whenever there was electrical break-down during the rehabilitation period - HELD THAT:- Considering the contentions raised by IPISTEEL to the effect that CESCO has not been properly interpreting the reliefs as contained in clause 8 of page 7 of the Scheme at Annexure-1 and also in para 5(i) and 5(ii) of the order at Annexure-3, the Secretary was directed to issue clarificatory letter. Authenticity of Note Sheet of BIFR is not in question. By the order passed in the Note Sheet, neither the Scheme nor any earlier order has been reviewed or modified. The view expressed in the Note Sheet to the effect that reliefs envisaged at clause 8 of page 7 of the Scheme at Annexure-1 is for the entire period of rehabilitation and not restricted to the periods pertaining to power cut/break-down only has been reiterated and ratified by order dated 17.4.2007 at Annexure-12 reproduced above, by observing that as there was, prima facie, an ambiguity in respect of the reliefs and concessions envisaged from CESCO in clause 8 of page 7 of the Scheme at Annexure-1, the Bench directed, on file, to issue a clarification to CESCO stating inter alia therein that the reliefs as contained in the said para of the Scheme at Annexure-1 would not be restricted only to the break-down period(s) and would be for the entire rehabilitation period. Thus, in course of review hearing, M/s. IPISTEEL Ltd.(IPISL) held on 17.4.2007 at Annexure-12, it has been held that reliefs and concessions envisaged at clause 8 of page 7 of the Scheme at Annexure-1 would not be restricted only to the break-down period(s). Otherwise also, in order to understand the import and implication of the reliefs and concessions envisaged at clause 8 of page 7 of the Scheme at Annexure-1, a reference may be made to the observations of the BIFR in the Scheme on the basis of which specific reliefs and concessions were granted. While dealing with BACKGROUND at page 2 of the Scheme it has been observed that IPISTEEL failed to make payments as per the OTS mainly in view of non-compliance of various conditions of the BIFR approved scheme by the Government of Orissa, poor profitability arising out of frequent mechanical break-down at the mill and non-availability of need-based working capital funds from the banks - it appears that there is no reference to 'electrical breakdown'. Rather the Scheme refers to frequent 'mechanical breakdowns' as one of the factors which rendered the IPISTEEL sick. In such circumstances, there is no scope to restrict the meaning of words 'break-down/rehabilitation' as used in clause 8 of page 7 of the Scheme to the period of electrical breakdown only. None of the reliefs and concessions envisaged from CESCO being confined to the period of electrical breakdown only and in the absence of any reference to "electrical breakdown" as pointed out above, there is no scope to restrict the period of reliefs and concessions envisaged under clause 8 of page 7 of the Scheme to the period of electrical breakdown only - Petition allowed.
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