- (1.) By way of this order we shall dispose of Civil Writ Petition Nos. 13872 of 2005, 7200, 17561, 3936 of 2006, 12462, 13287 and 13494 of 2012, as they involve adjudication of similar questions of law and facts. Facts for adjudication of these petitions are being taken from Civil Writ Petition No. 13872 of 2005, but where necessary facts of each case shall be narrated. The petitioner prays for issuance of a writ of certiorari declaring notification, dated October 15, 2001 (annexure P1), ultra vires of article 14 of the Constitution of India and for quashing order dated April 26, 2005 (annexure P21), passed by the High Level Screening Committee, constituted under rule 28C of the Haryana General Sales Tax Rules, 1975 (hereinafter referred to as "the Rules"), declining to treat the petitioner as a "unit in pipeline."
(2.) Counsel for the petitioner submits that the petitioner was incorporated in 1996 with the object of manufacturing and selling HDPE woven fabrics and other packing material. The petitioner purchased land in village Patti Kalyana on April 3, 1996 and obtained change of land use certificate on August 18, 1997. The petitioner was in the process of setting up a unit, when it received information, based on an advertisement issued, by the State of Haryana in Hindustan Times, on June 30, 2000, that exemption would be granted to "units in pipeline" as on April 30, 2000. The petitioner immediately sent a communication, dated July 5, 2000, to the General Manager, District Industries Centre, Panipat, praying that his unit be included in the list of "units in pipeline". The petitioner had already applied for registration of its unit with the District Industries Centre, Panipat, by way of an application dated May 17, 2000. The petitioner had invested Rs. 28,97,705 up to March 31, 2001 by way of constructing a building. The petitioner obtained sales tax registration on April 30, 2001. A certificate was issued on April 30, 2001, effective from September 7, 2000. The petitioner also obtained a no dues certificate from the Haryana Pollution Control Board, dated December 14, 2001, an electricity connection from the Uttar Haryana Bijli Vitran Nigam, on January 17, 2002 and went into commercial production on March 30, 2002. On the basis of these investments and permissions, the petitioner filed an application on July 26, 2002 for grant of tax concessions. The application has been rejected by the Higher Level Screening Committee vide order dated April 26, 2005 (annexure P21) by holding that the petitioner was not registered in the office of General Manager, District Industries Centre, on April 30, 2000, etc.
(3.) Counsel for the petitioner submits that the petitioner's application for being registered/treated as a "unit in pipeline" has been rejected on the ground" that the petitioner was not registered with the Department of Industries before May 28, 2000 and, therefore, cannot be treated as a "unit in pipeline" under rule 28C(3)(o) of the Haryana General Sales Tax Rules, 1975 (hereinafter referred to as "the Rules"). The State of Haryana has granted exemptions, from payment of sales tax by incorporating rules 28A and 28B in the Rules. On July 28, 2000, the State of Haryana introduced rule 28C, in the Rules to grant deferment from payment of tax to units that fulfill conditions set out in the aforesaid Rules. Rule 28C inserted on July 28, 2000 provides that an "eligible industrial unit" holding a valid entitlement certificate shall be entitled to concession of deferment of payment of sales tax, including Central sales tax, on the sale of goods manufactured by the unit. Rule 28C defines an "eligible industrial unit" but did not define "units in pipeline". Sub-clause (iv) however, provided exemption to a "unit in pipeline" as on April 30, 2000 or on any other later date to be notified by the Government. The eligibility of "units in pipeline" was to be determined by a High Powered Committee or a High Level Screening Committee depending upon the nature of the unit. Thus, if a unit was a "unit in pipeline" as on April 30, 2000, or any other later date to be notified by the Government, it would be treated as an "eligible unit". The operative period for availing of concessions under rule 28C(3)(e) of the Rules is from November 15, 1999 to April 30, 2000, except in the case of "units in pipeline" where the date is April 30, 2000 or any other later date to be notified by the Government. The State of Haryana without considering that rule 28C(3), was in operation and units like the petitioner had already taken steps to set up a unit, issued notification dated October 15, 2001, amending rule 28C(3) with effect from November 15, 1999, by enacting sub-rule (o) to define "units in pipeline" in the following terms: (i) is registered with the Department of Industries; (ii) has arranged land or premises by way of purchase, allotment, lease or rent; (iii) has applied for finances from a regular financial institutions; and (iv) would start production within two years, i.e., before the May 1, 2002.;