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2015 (11) TMI 1735

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..... that the respondents were justified in withdrawing the approval and in the interest of the country, it would not be advisable to kill a prosperous industry - the action of the respondents was ill-advised and not sustainable. Petition allowed - decided in favor of petitioner. - WRIT PETITION NO.13172/2013 (GM-RES) - - - Dated:- 18-11-2015 - Mr. Anand Byrareddy, J. By Sri D.L.N. Rao, Senior counsel for Smt. S.R. Anuradha, Advocate for the Petitioner By Sri Krishna S. Dixit, Additional Solicitor General for respondents ORDER Heard the learned Senior Advocate, Shri D.L.N. Rao, appearing for the petitioner and the learned Assistant Solicitor General of India appearing for the respondents. 2. It is the case of the petitioner that it is a registered partnership firm and it is the absolute owner of immovable properties bearing No.96 and 104, P-2, EPIP Industrial Area, Whitefield, Bangalore. It consists of land and building forming an Information Technology Park developed by the petitioner. Respondent No.1, namely, Ministry of Commerce and Industries, represented by the Department of Industrial Policy and Promotion, the 2nd respondent herein, had introduced a S .....

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..... anner in which an application shall be made, as also the criteria for automatic approval is provided for under paragraph 6. And under paragraph 6(f), it is specifically laid down as follows:- (f) No single unit referred to in column (2) of the Table given in the sub-paragraph (b) of paragraph 6 shall occupy more than fifty per cent, of the allocable industrial area of an industrial model town or industrial park or Growth Centre; In so far as the Non-Automatic Route is concerned, it is provided for at paragraph 7 of the Scheme. And paragraph 7(3) provides for the manner in which the application shall be considered and approval granted by an Empowered Committee, which incidentally is not the same procedure for consideration of an application under the Automatic Route. Therefore, it is evident that the condition prescribed, in so far as obtaining an automatic approval would not be the condition also applicable under the Non-Automatic Route; This is evident on a plain reading of sub-clause (3) of paragraph 7, which is as follows:- (3) The Empowered Committee shall consider each application on a case to case basis, subject to its complying with the statutory requirements as .....

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..... Total investments proposed Rs.29,50,00,000 (ix) Investment on built up space for Industrial use Rs.9,55,95,000 (x) Investment on Infrastructure Development including investment on built up space for industrial use Rs.29,50,00,000 (xi) Expected date of commencement of the Industrial Park 31-10-2005 2. Necessary approvals , including that for Foreign Direct Investment/Non-Resident Indian Investment by the Foreign Investment Promotion Board/Reserve Bank of India, shall be obtained separately as per the policy and procedure in force. 3. Industrial park should be in operation during the period for which the benefits under Sub Section 4(iii) of Section 80 IA of the Income Tax Act, 1961 are to be availed. 4. The conditions mentioned in Para 1 above are as per the proposal made by the undertaking and are within the provisions of the Industrial Park Scheme, 2002, notified by this Department vide S.O. No.354(E) dated 1.4.2002. The conditions mentioned in this letter and those included in the Industrial Park Scheme, 2002, should be .....

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..... tioner's park was concerned, that even if such a condition was to be made applicable, TCS was in turn not operating all the 16 entities, which may be under its umbrella. The 16 units were being independently run as distinct and independent units and this was sought to be emphasized in several different ways apart from producing certificates issued by Joint Director, District Industries Centre, to certify that petitioner had 18 separate, independent and identifiable units located in the park. As well as a certificate from the Department of Information Technology, Biotechnology and Science and Technology, Government of Karnataka, who also endorsed the same. In addition, the Department of Industries and Commerce, Government of Karnataka had also certified the same. The said certificates are produced at Annexures 'P', 'Q' and 'R', respectively, to the petition. It is this primary aspect and the limited ground on which the present petition is filed questioning the action of the respondents in withdrawing the approval. 7. On the above allegation that there has been violation of the terms of allotment by the petitioner and it is this stand of the respondents .....

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