Rakesh Garg, J. - (1.) BY way of this writ petition, the petitioner is seeking issuance of a writ in the nature of certiorari or any other appropriate writ or direction declaring the orders dated May 19, 2005 and June 15, 2005 (annexures P19 and 20) as illegal, arbitrary, mala fide, violative of Articles 14 and 19(1)(g) of the Constitution of India, and ultra vires of the Punjab General Sales Tax (Deferment and Exemption) Rules, 1991 (hereinafter referred to as, "the Rules, 1991"). It is relevant to mention that vide order dated May 19, 2005 (annexure P19) the petitioner was required to deposit the amount as a consequence of cancellation of its eligibility and exemption certificate under the Rules of 1991. The said order was passed by the sales tax authorities as the Director of Industries and Commerce, Punjab vide his order dated March 30, 2005 has found that the petitioner is not eligible for grant of incentive of exemption from sales tax. The petitioner had filed representation to the respondent -department against the order dated March 30, 2005 which was dismissed vide order dated June 15, 2005 (annexure P20).
(2.) AS per the averments made in the writ petition, the petitioner -company entered into an agreement for purchase of land measuring 5 kanals and 15 marlas comprised in Khewat/Khatoni No. 20/22, Khasra No. 8/7/2(6 -4), 8/ 2/2(6 -4), 14/1(0 -18) situated at village Muthari (Ban Majra), Hadbast No. 124, District Ropar, on March 18, 2000/March 24, 2000 for a sum of Rs. 6,00,150 and the petitioner -company paid Rs. 50,000 as earnest money. In pursuance of the agreement to sell, the petitioner -company was put in possession of the land. After getting into the possession of the said land in pursuance of the agreement to sell, the petitioner -company started raising construction and also called for quotations for the required plant and machinery. Thereafter, the petitioner -company applied for SSI registration with the Industries and Commerce Department, Punjab and got provisional certificate No. 161102598 -Prov/SSI dated April 28, 2000. It is also averred in the writ petition that in pursuance of the agreement to sell dated March 18, 2000, the sale deed of the land was also executed on March 21, 2001 in the name of the company. It is the case of the petitioner that the respondent -State of Punjab with a view to promote growth of industries in the State had been providing from time to time various incentives for the new industrial units. The State Government issued a Notification No. 1NCII/15/43/965/96/18/4176 dated June 1, 1996 for sales tax exemption/sales tax deferment for the units who had taken effective steps by April 30, 2000.
(3.) IT is the case of the petitioner that it was granted eligibility certificate on November 28, 2002 vide annexure P10 by the Department of Industries for grant of incentives of sales tax exemption. It is the further case of the petitioner that the petitioner -company being eligible for the said incentives submitted an application for issuing it the sales tax exemption certificate on May 30, 2002 vide annexure P13. The said application was duly received in the office of the Assistant Excise and Taxation Commissioner, Rupnagar vide annexure P14 and in pursuance of this application, the petitioner -company was granted sales tax exemption certificate dated August 26, 2003 vide annexure P15. Vide this certificate the unit of the petitioner -company was held entitled to the deferment of or exemption from payment of tax in accordance with the provisions of the Rules, 1991 for the period April 10, 2002 to April 9, 2012 subject to the maximum amount of tax exemption of Rs. 7,40,85,000.;