TMI BlogMinutes of the 53rd meeting of the SEZ Board of Approval held on 6th July 2012 to consider proposals for setting up Special Economic Zones and other miscellaneous proposalsX X X X Extracts X X X X X X X X Extracts X X X X ..... ons has been generated in the SEZs. During the financial year 2011-12, total exports to the tune of Rs. 3,64,477.73 crores have been made from the SEZs, registering a growth of about 15.39% over the exports for the year 2010-11. Item No. 53.1: Proposals for setting up of SEZs. (i) Proposal of M/s. OPG Power Gujarat Private Limited, for setting up of a sector specific Special Economic Zone for Power at Bhadreshwar, Mundra, Kutch, Gujarat, over an area of 104.72.24 hectares. The Board noted that the Government of Gujarat has recommended the proposal vide their letter dated 23.04.12. However, as per report of DC KASEZ, the entire area of 104.72.24 hectares is, presently, not in possession of the developer. Accordingly, the Board decided to grant in-principle approval to the proposal of M/s. OPG Power Gujarat Private Limited, for setting up of a sector specific Special Economic Zone for Power at Bhadreshwar, Mundra, Kutch, Gujarat, over an area of 104.72.24 hectares. (ii) Proposal of M/s. Impetus Infotech (India) Private Limited, for setting up of a sector specific Special Economic Zone for IT/ITES at Indore, Madhya Pradesh, over an area of 10 hectares. The Bo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... applicable. This is applicable to all the cases of co-developers approved by the BoA in this meeting. The Board further directed that proposals for grant of codeveloper status should be accompanied by lease deed/draft lease deed which must inter-alia contain the details of financial transactions/arrangements between developer and proposed co-developer. The decisions of the proposals are as under:- (i) Request of M/s. Chella Software (P) Limited for co-developer in the sector specific SEZ for IT/ITES at llandhaikulam village, Madurai, Tamil Nadu being developed by Electronics Corporation of Tamil Nadu Limited (ELCOT) DC MEPZ informed the Board that M/s. Chella Software (P) Limited has a unit in the same SEZ and that the co-developer has given an undertaking conforming with the following decisions/conditions stipulated under item 47.2 of the 47th meeting of BoA:- (i) As a general policy the Developer /Co Developer and the Unit should be separate legal entities. (ii) If for certain specific reasons, the above arrangement is not feasible the affairs of the Developer/ Co-developer and Unit shall be ring fenced in the following manner: The specific reason(s) as to why Deve ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , Tech Zone, Greater Noida, Uttar Pradesh, being developed by M/s. Ansal IT City Parks Limited After deliberations, the Board approved the request of M/s. Earth Iconic Infrastructure Private Limited for becoming a co-developer in the above mentioned SEZ, for development of infrastructure facilities over an area of 151762.50 sqm (15.20 Ha), in accordance with the co-developer agreement entered into with the developer. (iv) Request of M/s. Gujarat State Petronet Limited for co-developer in the multi-product at Jambusar, District Bharuch, Gujarat, being developed by M/s. Sterling SEZ and Infrastructure Limited After deliberations, the Board approved the request of M/s. Gujarat State Petronet Limited for becoming a co-developer in the above mentioned SEZ, for development of natural gas transmission and distribution network alongwith station for operation maintenance. (v) Request of M/s. Bhartiya Urban Infrastructure Land Development Company Private Limited for co-developer in the sector specific SEZ for IT/ITES at Bangalore, Karnataka, being developed by M/s. Milestone Buildcon Private Limited (MBPL) After deliberations, the Board approved the request of M/s. B ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rdance with the co-developer agreement entered into with the developer. The approval is, however, subject to conditions that no I-T benefits under the SEZ Act/Rules, will be available to the developer or co-developer, on the investments made in the textile park by them or by way of grant received from M/o Textiles under the SITP Scheme. (viii) Request of M/s. Artha Builders LLP for co-developer in the sector specific SEZ for Electronic Hardware and Software including IT/ITES at Greater Noida, Uttar Pradesh, being developed by M/s. Artha Infratech Private Limited After deliberations, the Board approved the request of M/s. Artha Builders LLP for becoming a co-developer in the above mentioned SEZ, for building one tower of approximately 3 lacs sqft, super area over the processing area of 0.436921 hectares, in accordance with the co-developer agreement entered into with the developer. Item No. 53.3: Requests for Authorized operations. (i) Request of M/s. SEZ Biotech Services Private Limited for authorized operations in sector specific SEZ for Biotechnology at Manjari Budruk, Taluka Haveli, District Pune, Maharashtra After deliberations, the Board approved the follow ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ES at village Badshahpur, District Gurgaon, Haryana, notified over an area of 10.9915 hectares After deliberations, the Board decided to approve the request of M/s. Ansal SEZ Projects Limited for de-notification of the sector specific SEZ for IT/ITES at village Badshahpur, District Gurgaon, Haryana, notified over an area of 10.9915 hectares, subject to DC s certificate that the developer has not availed of any tax/duty benefits under the SEZ Act/Rules or the same have been refunded, as the case may be. Item No. 53.5: Request for withdrawal of formal approval (i) Withdrawal of formal approval granted to M/s. Shyam Steel Industries Limited for setting up of sector specific SEZ for IT/Electronic Hardware Software including ITES at Barasat, West Bengal The Board decided to approve the request of M/s. Shyam Steel Industries Limited for withdrawal of formal approval granted to them for setting up of sector specific SEZ for IT/Electronic Hardware Software including ITES at Barasat, West Bengal, over an area of 11.35 hectares, subject to DC s certificate that the developer has not availed of any tax/duty benefits under the SEZ Act/Rules or the same have been refunded ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... up to 25th July, 2013. (vii) Request of M/s. Karle Infra Projects Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Nagavara village, Bangalore North Taluk, Karnataka beyond 18th June 2012 (beyond 5th year) The Board after deliberations extended the validity of the formal approval up to 18th June, 2013. (viii) Request of M/s. GMR Hyderabad International Airport Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Multi Services with International Financial Services Centre (earlier airport based multi product) at GMR Hyderabad International Airport, Shamshabad, Hyderabad, beyond 24th June 2012(beyond 5th year) The Board after deliberations extended the validity of the formal approval up to 24th June, 2013. (ix) Request of M/s. Unitech Infracon Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Greater Noida, Uttar Pradesh, beyond 22nd May 2012 (beyond 5th year) The Board after deliberations extended the validity of the formal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing up of Port based Multi Product SEZ at Kandla and Tuna, Gandhidham, Bhuj District, Gujarat, beyond 6th May 2012 (beyond 5th year) The Board after deliberations extended the validity of the formal approval up to 6th May, 2013. (xvii) Request of M/s. MAS Fabric Park (India) Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Textile and Apparel at Chintavaram village, Chillakru Mandal, Nellore District, Andhra Pradesh, beyond 25th July 2012 (beyond 5th year) The Board after deliberations extended the validity of the formal approval up to 25th July, 2013. (xviii) Request of M/s. Mahindra Mahindra Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Biotechnology at village Owale, Ghodbunder Road, District Thane, Maharashtra, beyond 20th August 2012 (beyond 6th Year) The Board after deliberations extended the validity of the formal approval up to 20th August, 2013. (xix) Request of M/s. Sunstream City Private Limited (formerly M/s. Zeus Infrastructure Private Limited) for further extension of the validity period of f ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ting up of sector specific SEZ for IT/ITES at Hinjewadi, Pune, Maharashtra, beyond 27th August 2012 (beyond 6th year) The Board after deliberations extended the validity of the formal approval up to 27th August, 2013 (xxvi) Request of M/s. Dr. Fresh Health Care Private Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Gurgaon, Haryana beyond 25th June 2012 (beyond 6th year) The Board after deliberations extended the validity of the formal approval up to 25th June, 2013 (xxvii) Request of M/s. Gopalpur Special Economic Zone Limited for further extension of the validity period of formal approval, granted for setting up of multi product SEZ at Gopalpur, District Ganjam, Orissa beyond 17th June 2012 (beyond 6th year) The Board after deliberations extended the validity of the formal approval up to 17th June, 2013. Item No. 53.7: Requests for grant of extension of in-principle approval beyond 3rd to 5th year. (i) The request of M/s. Mumbai SEZ Limited for further extension of the validity period of in-principle approval, granted for setting up of multi product SEZ at Khopta, Dist ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... iple approval, granted for setting up of sector specific SEZ for Gems Jewellery at Nanded, Maharashtra, beyond 25th June 2012 (beyond 5th year) The Board noted that the developer has failed to acquire the minimum land, required for the sector, even after lapse of five years after the grant of in-principle approval. After deliberations the Board deferred the request for further extension of the validity period of inprinciple approval, granted for setting up of sector specific SEZ for Gems Jewellery and sought a comprehensive report from DC, SEEPZ addressing the following specific issues, for further consideration of the Board: Reasons for failure to acquire the minimum land for the SEZ even after the lapse of five years Status of progress made on the ground towards setting up of the SEZ by the developer The proposed schedule of completion of the SEZ Project (including land acquisition, development, construction and operationalization) (v) The request of M/s. Nasik Multi Services SEZ Limited for further extension of the validity period of in-principle approval, granted for setting up of sector specific SEZ for Multi Services at Nasik, Maharashtra, beyond 25th Ju ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n SEZ for extension of LoP beyond 12.04.2012 (beyond 3rd year) The Board, after deliberations, extended the LoP of the unit up to 12th April, 2013. (vii) Request of M/s. Ashapura Garments Limited, a unit in MPSEZ for extension of LoP beyond 04.03.2012 (beyond 4th year) The Board, after deliberations, extended the LoP of the unit up to 04th March, 2013. (viii) Request of M/s. Meghmani Organics Limited (MOL), a unit in M/s. Dahej SEZ for extension of LoP beyond 04.05.2012 (beyond 4th year) The Board, after deliberations, extended the LoP of the unit up to 4th May, 2013. (ix) Request of M/s. Satyam Computers Services Limited, a unit in MIHAN SEZ for extension of LoP beyond 27.07.2012(beyond 4th year) The Board, after deliberations, extended the LoP of the unit up to 27th July, 2013. (x) Request of M/s. Nagarro Software Private Limited, a unit in M/s. Mahindra World City (Jaipur) Limited at village Kalwara, Tehsil Sanganer, District Jaipur, Rajasthan SEZ for extension of LoP beyond 31.03.2012 (beyond 4th year) The Board, after deliberations, extended the LoP of the unit up to 31st March, 2013. (xi) Request of M/s. Glenmark Generics Limited, a unit in Indor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... permitted for establishing contiguity. Item No. 53.10: Request for Additional Gates (i) Request M/s Dahej SEZ Limited, for approval of an additional entry/exit gates for port operations The Board after deliberations, approved the request of M/s. Dahej SEZ Limited for additional gates as mentioned below:- (a) A separate entry/exit gate for demarcated non-processing area of SEZ for port activity (b) Two exit gates, one each for Godrej Boyce mfg Company Limited (plot no Z/90) and ISGEC Heavy engineering Limited (plot No. Z/89), in the processing area Item No. 53.11: Request of M/s. MAS GMR Aero Technic Limited (MGAL), a unit in M/s. GMR Hyderabad Aviation SEZ Limited, for returning of removed/replaced components/spares of aircrafts to its respective customers The representative of CBEC informed that the matter is being examined in consultation with TRU and their comments will be furnished shortly. The Board, therefore, decided, the matter would be examined on file by Department of Commerce after receipt of comments from CBEC. Item No. 53.12: Request of M/s. Torrent Energy Limited for approval for brining 914 mm dia MS water pipeline from GIDC Reservo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Board that the case under consideration is one of backward integration by the unit. The Board took note of these observations and also examined the report of the DC SEEPZ SEZ in this regard and after deliberations approved the request of M/s. Cosmo Films Limited for broadbanding of LoP to include the item of manufacture viz. BOPP Films falling under CTH No. 39 20 20. Item No. 53.17: Requests for change of name/transfer of equity (i) Request of M/s. Karle Infra Projects Private Limited for changing its name to M/s. Karle Infra Private Limited The Board was informed that the request from M/s. Karle Infra Projects Private Limited was that of change of name to M/s. Karle Infra Private Limited and there is no change in the shareholding of the company. The Board, after deliberations, granted approval to the request of M/s. Karle Infra Projects Private Limited for changing its name to M/s. Karle Infra Private Limited. (ii) Request of M/s. DLF Ackruti Infoparks (Pune) Limited for transfer of formal approval granted for development of sector specific SEZ for IT/ITES at Rajiv Gandhi Infotech Park, Hinjewadi, Pune, Maharashtra, to Ackruti City Magnum Limited DC SEEPZ SEZ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o developers, including security clearances etc., by the altered developer entity and its constituents; (iii) Applicability of and compliance with all Revenue / Company Affairs /SEBI etc. rules which regulate issues like capital gains, equity change, transfer, taxability etc. (iv) Full financial details relating to the transfer of equity shall be furnished immediately to the Member (IT) CBDT, Department of Revenue. (v) The assessing officer under the Income Tax Act, 1961, shall have the right to assess the taxability of the amount arising out of the transfer of equity. (vi) The applicant shall comply with relevant State Government laws, including those relating to lease of land, as applicable. (v) Request of M/s. Rassai Properties Industries Limited for changing its name to M/s. Beneficent Knowledge Parks and Properties Limited The Board noted that in its meeting on 24th January, 2012 the developer was granted approval for transfer of 50% shares to M/s. Excelestar Ventures 1 LLC and now the request is for changing the name of the developer. The Board, after deliberations approved the request of M/s. Rassai Properties Industries Limited for changing its name to M/s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or setting up such facility in the processing area) The Board considered the justification furnished by the developer. DC, MEPZ informed the Board that SEZ is located at very remote area and allowing the co-developers to set up the facilities in the processing area for a period of 5 years is necessary for the development of the SEZ which is one of its kind in the country. DC also informed that the proposed facilities are located near the gate of the SEZ and it may not be difficult to re-locate these facilities in the non-processing area after a period of 5 years. The Board noted that the co-developers have undertaken to:- (i) buy only capital and initial set up items in a duty and tax free manner (ii) keep separate books of revenue for receipts from DTA and SEZ units (iii) not claim any I-T holiday for DTA revenues (iv) carry out DTA billing with applicable Service Tax (v) Bring in all consumables only after payment of applicable duties and taxes, till such time that testing of DTA samples is carried on. The Board after deliberations approved the request of M/s. SGS India Private Limited and M/s. Basix Academy for Building Lifelong Employability (B-ABLE), the co-dev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lying various lengths of wire ropes for which it was carrying out storage and warehousing of wire ropes in large lengths/rolls. As various lengths are required by different various clients it was necessary that activities such as measuring, cutting, annealing, clamping and fixing of loops etc to different lengths of wires was also carried out in addition to trading and warehousing activity. The applicant also informed the Board that the above value added activities do not fall under the definition of manufacturing as the nature of the final product even after carrying out the value added services remains the same. The Board, after deliberations, allowed the appeal and remanded the appeal back to UAC for reconsideration of its decision. (ii) Appeal of M/s. Sterling Vinnyl Additives LLP, a unit in Dahej SEZ, against cancellation of its LoP The appellant was heard by the Board. The appellant explained to the Board that the company is now serious towards implementation of the project and it may be allowed further extension to enable them to implement the project. The Board, after deliberations, allowed the appeal and extended the LoP of the unit for a period of six months fro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... request of M/s. GIFT Power Company Limited for becoming a co-developer in the above mentioned SEZ, for power distribution within the SEZ area and operation and maintenance of infrastructure facilities and equipments required for power distribution within the SEZ area, in accordance with the codeveloper agreement entered into with the developer. Item No. 53.22: Requests for Authorized Operations (i) Request of M/s. ASF Insignia SEZ Private Limited for authorized operations in the sector specific SEZ for IT/ITES at Gurgaon, Haryana The Board noted that the developer has made the following request:- (i) Enhancement in electricity capacity (already approved by BoA) from 25 MW (Total 25 MW, 22 MW in Processing area and 3 MW in Non-Processing area) to 42 MW (Total 42 MW, 26 MW in processing area and 16 MW in Non- Processing area). (ii) Construction of 37500 sqm of IT/ITES office space Board after, deliberations, approved the request for enhancement of electrical capacity from 25 MW (Total 25 MW, 22 MW in Processing area and 3 MW in Non-Processing area) to 42 MW (Total 26 MW, 22 MW in processing area and 16 MW in Non-Processing area). However the request for construc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... berations, the Board approved the request of M/s. Espire Infrastructure Corporation Limited for de-notification of the sector specific SEZ for IT/ITES at 12/1, Sector-27D, Industrial Area, Mathura road, Faridabad, Haryana, notified over an area of 10.4043 hectares, subject to DC s certificate that the developer has refunded all the tax/duty benefits availed under SEZ Act/Rules. Item No.53.26: Request for extension of validity of formal approvals beyond 5th year (i) Request of M/s. Unitech Realty Projects Limited for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Tikri, Gurgaon, Haryana, beyond 29th July 2012 (beyond 5th year) The Board after deliberations extended the validity of the formal approval up to 29th July, 2013. Item No. 53.27: Request for extension of LoP of units beyond 4th year (i) Request of M/s. Roop Telesonic Ultrasonix Limited, a unit in Electronics SEZ at Gandhinagar, Gujarat for extension of LoP beyond 15.05.2012 (beyond 4th year) The Board, after deliberations, extended the LoP of the unit up to 15th May, 2013. The Board also directed that the unit may not be grant ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Board of Approval for Special Economic Zones held on 6th July, 2012 under the Chairmanship of Commerce Secretary, Department of Commerce 1. Shri S. R. Rao, Chairman BOA Secretary, Department of Commerce. 2. Smt. Ruchira Pant, Director General (DG), Department of Revenue, Ministry of Finance 3. Ms. Deepshikha Sharma, Deputy Secretary (ITA 1), CBDT, Department of Revenue, Ministry of Finance 4. Ms. Surabhi Sharma, Under Secretary, (ITA 1), CBDT, Department of Revenue, Ministry of Finance 5. Shri A.K. Pujari, DGFT, Director General of Foreign Trade 6. Shri Vivek Ranjan, Additional Director, Department of Revenue, Ministry of Finance 7. Dr. L. B. Singhal, Joint DGFT, Director General of Foreign Trade 8. Shri U.K.S. Chauhan, Resident Commissioner, Government of Kerala, New Delhi 9. Shri G. Manjunath Gouda, Resident Director, Karnataka Udyog Mitra Karnataka Bhavan 3, Khelgaon Marg, New Delhi 10. Shri R.C. Dahra, Additional Director Industries, Department of Industries, Government of Haryana 11. Shri Shivendra Singh, Secretary, AIADA, Government of Jharkhand 12. Shri Pradeep Kumar, Additional Resident Commissioner, Government of Maharashtra ..... X X X X Extracts X X X X X X X X Extracts X X X X
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