Prakash Krishna, J. - (1.) This is second round of litigation in the High Court. The petitioner is a new unit under Section 4-A of the U.P. Trade Tax Act, 1948 (hereinafter referred to as "the Act"). Aggrieved by the order dated January 19, 1988 passed by the Divisional Level Committee, by which eligibility certificate to the petitioner has been denied, the petitioner has preferred the above writ petition.
(2.) The petitioner established a new unit for the manufacture of paper. The date of production is December 6, 1982. The unit was registered under the Factories Act on February 18, 1983. The first purchase of the raw material is dated November 4, 1982 and the date of first sale is February 22, 1983. The petitioner has also obtained licence under the Central Excise Act, which is dated December 3, 1982. The State Government by Government Order No. 8244 dated September 30, 1982 floated a scheme for sales tax exemption to new units set up in the State of Uttar Pradesh. The petitioner filed an application under Section 4-A of the Act for exemption. The General Manager, District Industries Centre, Ghaziabad recommended to the Sales Tax Officer, Sector I, Ghaziabad that the petitioner is entitled for all the benefits as provided in the Government Order dated September 30, 1982. A copy of the said recommendation has been filed as annexure 8 to the writ petition. Surprisingly, the petitioner immediately thereafter received a letter dated June 4, 1984 from the General Manager that the petitioner is not eligible for grant of tax exemption. A copy of the said letter has been filed as annexure 9 to the writ petition. The said order is a non-speaking one and contains no reasons. It appears that the petitioner approached the State Government and Udyog Bandhu for the supply of the reasons, which were later on communicated to the petitioner. The reason was communicated through the letter dated January 8, 1985. It was stated that the electric connection was taken by the petitioner on March 26, 1982 and the first purchase of raw material is dated May 4, 1982 and as such the unit was already established prior to October 1, 1982 and thus the petitioner was not entitled for grant of eligibility certificate. The petitioner filed Writ Petition No. 511 of 1985 challenging the rejection of its application under Section 4-A of the Act for grant of eligibility certificate. The said writ petition was allowed by the judgment dated November 24, 1987 by a division Bench of this Court with the direction to the Division Level Committee to consider the prayer made on behalf of the petitioner's unit for grant of benefits to it under Section 4-A of the Act. It was further provided that before taking a decision, the committee shall give opportunity to a representative of the petitioner to place its version before it.
(3.) The petitioner, in pursuance of the aforesaid judgment approached the Divisional Level Committee and explained the discrepancies regarding electric connection and regarding purchase of the raw material by means of a representation. It has further been stated in paragraph 35 of the writ petition that the Divisional Level Committee after the above representation neither required any documents to be produced before it nor ever asked the petitioner to file any documents, etc.;