Defendant No. 1
issued irrevocable Standby Letter of Credit (in short „SBLC‟) in favour of
Plaintiff bank, the beneficiary in order to extend General Banking ... Facility to
Defendant No. 3 at Shenzhen, China. Thereafter, the SBLC was extended
twice at the instance of Defendant No. 2 on the same terms
Strategic to issue a Standby Letter of
Credit (in short 'the SBLC') for a sum of ₹540 crores in favour of Religare ... around 22nd October, 2015 Religare informed Strategic that it would
invoke the SBLC on account of default in payment of the balance purchase
consideration
dated 16.03.2017, which was issued by the
petitioner. Similarly, the aspect of SBLC was
Page 11 of 101
C/IAAP/55/2017 ORDER ... terminal.
Mr. Joshi further contended that draft Stand By
Letter of Credit (SBLC) is of no consequences.
It is further contended by Mr. Joshi that
follows:
"1) ZIPL shall reimburse the cost of renewal of SBLC
amounting to 110263 Euros (Euros One Hundred Ten
Thousand Two Sixty Three ... 30th November, 2022.
... ... ...
3) ZIPL shall make every endeavour to
release the SBLC not later than 30th
November, 2022 by pledging the properties
of ZIPL
respondent had a virtual meeting on 6.6.2022 to discuss the draft SBLC circulated by the appellant in furtherance to closing the issue pertaining to mobilization ... respondent by e-mail on 6.6.2022 sent the draft SBLC with its comment on the basis of the discussion held at the virtual meeting
company and suggested that
they would be able to arrange SBLC from a Bank routed
through their company-Czar international Pte Limited ... circumstances under
which it is called upon. The SBLC prevents contracts going
unfulfilled if a business declares bankruptcy or cannot
otherwise meet financial obligations. Furthermore
required to submit a Standby Letters of Credit
[hereinafter referred to as SBLC for short] in the sum of
Rs.200 Crores. For the said ... petitioner Corporation
entered into Agreement with the respondent Bank, who issued SBLC
in favour of Dresdner Bank AG FrankFurt AM Main De. The said Bank
original Defendant No.2) from encashing certain
Standby Letters of Credit (SBLC) issued by Respondent No.3 (original
Defendant No.3).
::: Downloaded ... SBLCs show Respondent No.2 as the beneficiary.
Under the SBLC Respondent No.3 has to make out payment upon the
::: Downloaded
provisions of section 37(1) of the Act of
devolvement of SBLC of Rs. 30.98 crores considering capital loss and not
revenue loss in nature ... others
the assessee as to why Rs. 30.96 crores expenses incurred towards SBLC
devolvement should not be disallowed as per the provisions of the section
Standby Letter of Credit charges (SBLC) to M/s. Shalini Properties & Developers Limited
was allowable due to commercial expediency; whereas, the CIT(Appeals ... that the payment of
Rs.11,75,82,702/- as stand by SBLC to M/s. Shalini Properties & Developers Limited
was allowable
