R.BANUMATHI, J. - (1.) THIS appeal is directed against the judgment dated 18.9.2012 rendered in W.P(C) No.6727/2010, in and by which the learned Single Judge disposed of the writ petition directing the respondents to determine the amount of various subsidies, viz Capital Investment Incentive, Captive Power Generating Subsidy, Interest Subsidy, Stamp Duty and Registration Subsidy, Feasibility Study Project Report Cost Reimbursement Subsidy, Pollution Control Equipments Subsidy and make payment to the writ petitioner -respondent.
(2.) THE brief facts, which led to filing of the present Letters Patent Appeal, are as under: - After creation of the State of Jharkhand on 15th November, 2000, to optimally utilize the available resources of the State and to accelerate the industrial development of the State, an Industrial Policy was formulated to achieve the expected industrial growth and Jharkhand Industrial Policy, 2001 was notified on 25.8.2001 (Annexure 2) with various schemes and incentives to the units defined under the Policy. As per clause 29.11 of the Jharkhand Industrial Policy, 2001, special package for Mega Industrial Units was formulated and notified, vide memo no.1885 dated 10.6.2003 (Annexure 3). As per the notification containing special package for Mega Units, the Units were categorized in three different categories, viz (i) New Industrial Units in which the capital investment has been made or is being made for more than Rs.50 crores, (ii) existing Industrial Units and (iii) loss making existing Units. The respondent Unit is in the first category, i.e. New Industrial Unit having invested more than Rs.50 crores. As per the Special Package for Mega Industrial Unit, the capital investment subsidy for the new industrial units are as under: - "New Industrial Units The industrial units falling in this category shall be granted Capital Investment Subsidy which shall be released in the following two manners; (I) The industrial units shall be granted the Capital Investment Subsidy within 3 months of the unit coming into commercial production as per the categorization of blocks in the State: Category Percentage Maximum Amount A. 5 4 crores B. 10 7 crores C. 15 10 crores (II) After establishment of the unit every years the State will be getting the commercial taxes and other revenues upon the sales of the products of such industrial unit. Upto the limit of the amount equivalent to 75% of the commercial taxes received in each financial year, a capital investment subsidy shall be given to a industrial unit in the next financial year. This incentive shall be given to the unit from the date of the unit coming into commercial production as per the classification of blocks for the following mentioned period; Category Period (in years) A 7 B 8 C 9 The date of commercial production falling in the concerned financial year will be treated to be the first year for the purpose of aforesaid incentive and the Capital Investment Subsidy shall be given to the unit against that in the next financial year. The maximum limit of Capital Investment Subsidy to any unit in the aforesaid two manners in this Category shall be 75% of the capital investment made by the industrial unit as immovable capital investment upto the date of commercial production. As per the Special Package other subsidies are as under: - (II) Other subsidy: Over and above the Capital Investment Subsidy about which discussions have been made above, as per the Industrial Policy, 2001, Interest Subsidy (29.5), Stamp Duty and Registration Duty reimbursement (29.6) and Pollution Control Equipment Subsidy (29.9) shall be permissible after negotiations." The respondent Unit Kohinoor Steel Pvt. Ltd. executed a MoU with the State Government (Annexure 1) on 18.7.2005 with the proposal to make Capital Investment of Rs.410 crores in the first phase and Rs.95 crores in the second phase. The present dispute is mainly with respect to the incentives/subsidies relating to first phase -claim of the respondent Unit.
(3.) THE respondent started its production in its DRI (Sponge Iron Plant) with effect from 05.05.2006, the Power Plant and its Steel Melting Shop started production from 17.07.2007. A certificate to that effect was issued by the Director, Department of Industries, Government of Jharkhand and the same was communicated to the respondent vide memo No. 1801 dated 09.08.2008. The respondent submitted application for Capital Investment Subsidy on 16.09.2008 as per Jharkhand Mega Project Incentive Rule, 2005 but the same was not decided. Under the circumstances, the writ application was filed seeking for direction for grant of incentives, for which, the respondent -Company was entitled under the Mega Industrial Policy and the Rules made thereunder. Pursuant to the order of the High Court dated 18.02.2011, the Industries Department passed a reasoned order vide memo No. 512 dated 01.03.2011 (Annexure -7) rejecting the claim of the respondent for different heads of subsidies. The capital investment incentive was rejected on the ground that the Unit has not submitted the application for capital investment incentive within the mandatory time period of six months. In so far as other subsidies namely Interest Subsidy, Pollution Control Equipment, Stamp Duty, Registration Fees, Captive Energy Subsidy, Project Repair Reimbursement are concerned, they were rejected on the ground that the Unit has not done any negotiation in respect of those subsidies before the commencement of the project. The writ petition, W.P(C) No.6727/2010, was then amended to challenge the order contained in memo no.512 dated 1.3.2011.;