RAJESH BALIA, J. - (1.) NO one appeared on behalf of the respondent despite service. Heard the learned counsel for the petitioner. This revision is against the order passed by the Rajasthan Tax Board in Appeal NO. 553 of 1994 'a. C. T. O. v. Nagauri Industries, Sriganganagar" decided on March 20, 1998. The District Level Screening Committee in its meeting dated April 23, 1993 has sanctioned the issue of eligibility certificate in favour of the M/s. Nagauri Industries to claim the benefit of Sales Tax Incentive Scheme, 1987 in respect of a new industrial units for manufacturing edible oil established by the respondent. Against the order of District Level Screening Committee, the assessing authority preferred an appeal before the Board. That appeal has been rejected by the Board. Aggrieved with the aforesaid order the revenue has filed this revision.
(2.) THE facts giving rise to this case are that in the meeting held on December 14, 1993, respondent M/s. Nagauri Industries was granted eligibility certificate to avail of benefit under the Sales Tax Incentive Scheme only in respect of Central sales tax. THE position of the oil industries under the Incentive Scheme of 1987 has succinctly been noticed by the Supreme Court in two cases namely State of Rajasthan v. Gopal Oil Mills reported in [1999] 115 STC 25 and State of Rajasthan v. Mahaveer Oil Industries reported in [1999] 115 STC 29. By a notification dated May 23, 1987, issued in the exercise of its powers under section 4 (2) of the Rajasthan Sales Tax Act, 1954, the appellant-State of Rajasthan notified a Sales Tax Incentive Scheme for Industries, 1987 (hereinafter referred to as "the incentive scheme") under which it exempted (inter alia) new industrial units from payment of tax on the sale of goods manufactured by them for sale within the State of Rajasthan in the manner and to the extent and for the period as specified in that notification. THE operative period of the scheme under that notification was from March 5, 1987 to March 31, 1992. It was subsequently extended to March 31, 1997. THE incentive scheme was applicable, inter alia, to new industrial units set up in areas mentioned in annexure A to the notification. Annexure B sets out a list of industries which were not eligible for the benefit of the said notification. Oil extraction or manufacture was not listed in appendix B. Hence this industry was eligible for benefits under the scheme of May 23, 1987. THE respondent has claimed the benefit of incentive scheme in respect of oil extraction or manufacture. By another notification dated May 23, 1987, issued under section 8 (5) of the Central Sales Tax Act the State Government notified another sales tax incentive scheme for industries exempting (inter alia) new industrial units from payment of Central sales tax on the inter-State sale of goods manufactured by them within the State of Rajasthan. Under this notification also it was provided that industries listed in appendix B would not be eligible for the benefits of the scheme. Oil extraction or manufacture was not listed in appendix B to this notification. Hence oil extraction units were eligible for exemption from Central sales tax in respect of inter-State sale of their goods. By another notification dated July 6, 1989, issued under section 4 (2) of the Rajasthan Sales Tax Act, 1954, the appellants notified Sales Tax New Incentive Scheme for Industries, 1989, to exempt industrial units from payment of tax on sale of goods manufactured by them. However, by two notifications dated May 7, 1990, one issued under the Rajasthan Sales Tax Act, 1954, and the other issued under the Central Sales Tax Act, 1956, the notifications of May 23, 1987, were amended. As a result, by amendment of annexure B, oil extracting or manufacturing industry was added as an entry, thus withdrawing the benefits of the incentive scheme from oil extracting and manufacturing industries both in respect of Rajasthan sales tax as also Central sales tax. Thereafter by further notifications dated September 10, 1990, issued under the Rajasthan Sales Tax Act, 1954, and the Central Sales Tax Act, 1956, it was further notified, inter alia, that whenever an industry is included on any date during the period of operation of the scheme in annexure B, the units of such industry which have started commercial production and whose applications for benefit under the scheme are pending on the said date before the appropriate screening committee will be entitled to claim full benefit of the scheme. Thus by reason of the notifications issued on May 7, 1990, the benefit of the incentive scheme was withdrawn from oil extracting and manufacturing industries. In the first instance both under the Rajasthan Sales Tax Act and Central Sales Tax Act. However, by notification dated July 26, 1991, the benefit of exemption from Central sales tax was restored to oil extracting and manufacturing industry to the extent of 75 per cent in the case of new industries and to the extent of 60 per cent in the case of industries going for expansion or diversification. Thus new industrial units established after May 7, 1990 and before July 26, 1991, alone were not entitled to the benefit of the incentive scheme under the Central Sales Tax Act in respect of inter-State sales of their goods. The withdrawal of the benefit to the oil extracting and manufacturing industry under the Incentive Scheme, 1987 and 1989 under RST Act as well as CST Act challenged before this Court. A Division Bench of this Court in Lokendra Industries v. State reported in [1993] 89 STC 277 by invoking principle of promissory estoppel held that the notification of May 7, 1990 would not come in the way of the petitioner's claim to exemption of sales tax under the Incentive Scheme of 1987 and 1989, where the case had been examined and production was started prior to March, 1992. This judgment was delivered on January 12, 1993. The State of Rajasthan appealed against the aforesaid judgment before the Supreme Court. The petitioners did not press their claim for continued Incentive Scheme of 1987 and 1989 under the State Sales Tax Act, before the Supreme Court. However pressed their claim for continued exemption under the Central Sales Tax Act. The Supreme Court while setting aside the judgment of the High Court extending benefit to the oil extracting and manufacturing industry under the State Sales Tax Act, but in respect of withdrawal of incentive scheme under the Central Sales Tax Act by notification dated May 7, 1990 which was ultimately restored in July 26, 1991, the judgment of the High Court was affirmed. The apex Court found in Gopal Oil Mills' case [1999] 115 STC 25; " In view of the limited question, as indicated earlier, the point for consideration is whether the action of withdrawing the benefit under the Central Sales Tax Act by the notification dated May 7, 1990, found to be invalid by the High Court, is assailable. In our opinion, that part of the High Court's judgment does not call for any interference. The mere fact that action was taken to restore that benefit once again w. e. f. July 26, 1991 much prior to delivery of the judgment by the High Court on January 12, 1993 is a strong indication of the absence of any public interest to support withdrawal of that concession. Moreover, the State Government has been unable to support that action on the ground of public interest by producing any material to support that action and to indicate that the withdrawal of the benefit was in public interest only for the limited period between May 7, 1990 and July 26, 1991 in so far as it relates to withdrawal of the benefit granted earlier under the Central Sales Tax Act. "
(3.) JUDGMENT of High Court to the extent it related to benefit under the State Sales Tax Act was set aside. The judgment of the Supreme Court in respect of Rajasthan Sales Tax Act was re-affirmed in the later judgment : State of Rajasthan v. Mahaveer Oil Industries reported in [1999] 115 STC 29. In the present case it was disclosed in the minutes of the meeting of District Level Screening Committee that the respondent has established a new unit for oil extraction and manufacture on January 2, 1991 when the commercial production started and has applied for grant of incentive scheme on September 30, 1991, after the benefit of scheme under Central Sales Tax Act has been restored. The issue only involved the benefit of the scheme under the Central Sales Tax Act. The respondent as discussed above has commenced commercial production during the discontinuance of the scheme. At the relevant time the benefit of Incentive Scheme of 1987 was discontinued for the oil extraction and manufacture. By notification dated May 7, 1990 which operated from May 7, 1990 to July 26, 1991, the benefit which was extended to those industrial units which commenced commercial production during this intervening period by the Rajasthan High Court and affirmed by Supreme Court, on the ground that withdrawal of the scheme under Central Sales Tax Act for limited period was not supported by any material to be on the ground of any public interest and allowing such discontinuance will result in hostile discrimination towards the units coming into production during the clouded period. The Tribunal has merely followed the decision of the Supreme Court in State of Rajasthan v. Gopal Oil Mills [1999] 115 STC 25, for directing the District Level Screening Committee for granting eligibility certificate to the respondent under the Central Sales Tax Act. No interference is required to be made. Accordingly, this revision fails and is dismissed with no order as to costs. Petition dismissed. .;