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Showing contexts for: target plus in Vedanta Ltd. Rep By Its Authorised ... vs Union Of India on 20 February, 2024Matching Fragments
(Order made by the Hon'ble Mr.Justice D.Bharatha Chakravarthy) A. The Petitions:
All these three petitions are filed by the same petitioner and the reliefs prayed for are inter-connected and as such, are taken up and disposed of by this common order.
1.1. The petitioner Company was entitled to avail the set off in respect of the duty and additional duty payable on its imports on account of the benefit conferred under a scheme, namely Target Plus Scheme (hereinafter referred to as 'TPS'). It could only exercise its option of set off to the tune of https://www.mhc.tn.gov.in/judis W.P.Nos.3335, 3337 and 3339 of 2022 Rs.89,29,04,149.25 ps, even though the petitioner is entitled to adjust for a total sum of Rs.305,72,81,517.84 ps, thus, leaving a balance of Rs.216.38 crores. According to the petitioner, in view of the Entry 56 of notification No.26/2017-Cus. dated 29.06.2017; paragraph No.3.2.5 (VII) of the Handbook of Procedures (2004-2009) and in view of efflux of time, due to the previous litigations on account of the erroneous orders passed by the respondents, the same could not be achieved by the petitioner. Therefore, the petitioner has filed these three Writ Petitions, firstly, to declare the Entry 56 of notification No.26/2017-Cus. dated 29.06.2017 as violative of Articles 14 and 19(1)(g) of the Constitution of India inasmuch as it takes away the vested rights of the petitioner; to declare paragraph No.3.2.5 (VII) of the Handbook of Procedures (2004-2009) issued by the Director General of Foreign Trade (hereinafter referred to as 'D.G.F.T') to be ultra-vires the Section 5 of the Foreign Trade (Development and Regulation) Act, 1972 (hereinafter referred to as 'the Act') read with paragraph No.2.4 of the Foreign Trade Policy (2004-2009) and also being violative of Articles 14 https://www.mhc.tn.gov.in/judis W.P.Nos.3335, 3337 and 3339 of 2022 and 19(1)(g) of the Constitution of India inasmuch as it prescribes 24 months time limit for utilisation of the certificate under the TPS; a Writ of Mandamus is also filed praying for a direction extending the validity period of Duty Credit Certificate No.03/98/072/00210/AM07/S, dated 24.02.2021 by a period of 15 years and also to direct the respondents to permit use of the Duty Credit Certificate to defray I.G.S.T and G.S.T Compensation Cess as well so as to utilise the benefit under the TPS.
B. The Case of the Petitioner:
2. The case of the petitioner is that it is engaged in extraction of metals like copper, zinc, aluminium, iron etc. Import and export of inputs and final products is part and parcel of its business activities. Under the Foreign Trade Policy (hereinafter referred to as 'FTP'), a scheme known as Target Plus Scheme is framed by the respondents. The objective is to boost the economy by providing duty benefits to Star Export Houses. The FTP is framed by the Central Government in exercise of its power under Section 5 https://www.mhc.tn.gov.in/judis W.P.Nos.3335, 3337 and 3339 of 2022 of the Act. The above mentioned TPS is contained therein in paragraph No.3.7. The scheme seeks to reward Star Export Houses detailed in paragraph No.3.5 of the FTP which achieved a certain quantum of growth in exports.
"3.7. Target Plus Scheme 3.7.1. Objective.—The objective of the Scheme is to accelerate growth in exports by rewarding star export houses who have achieved a quantum growth in exports. High performing star export houses shall be entitled for a duty credit based on incremental exports, substantially higher than the general annual export target fixed (since https://www.mhc.tn.gov.in/judis W.P.Nos.3335, 3337 and 3339 of 2022 the target fixed for 2005-2006 is 17%, the lower limit of performance for qualifying for rewards is pegged at 20% for the current year).
"3.2.5 Target Plus Scheme The Policy for the Target Plus Scheme is given at Chapter 3 of the Foreign Trade Policy I. For direct as well as third party exports, the Export documents viz Export Order, Invoice, GR form, Bank Realization Certificate should be in the name of applicant only.