1990 (1) TMI 295

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....Divisional Level Committee dated May 12, 1987, rejecting the review petition filed by the petitioner claiming exemption under section 4-A of the U.P. Sales Tax Act, 1948, on the ground that it was a new unit which fulfilled all the requirements entitling it to the grant of eligibility certificate under the provision. The review petition has been rejected by the Divisional Level Committee on two....

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....ground is easily disposed of. The requirement that the lease of land on which the unit claiming the benefit of section 4-A is established should be for a period of more than seven years admittedly came into existence sometime in 1986, i.e., subsequent to the date on which the petitioner's unit was established or even the application of the petitioner was filed. The Divisional Level Committee was h....

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....ndia directly to the sellers from whom the petitioner had purchased the machinery. The assertion of the petitioner is that he had purchased the machinery on credit from the persons to whom the payment was to be made by the State Bank directly after it sanctioned the loan. The further assertion is that the machinery was installed in the petitioner's unit only after he had obtained the loan whereupo....

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.... the term loan was obtained. The petitioner was hence clearly entitled to the grant of eligibility certificate. The Divisional Level Committee, in our opinion, has committed a patent error in declining to grant the eligibility certificate to the petitioner. In the result the petition succeeds and is allowed. The impugned orders passed by the Divisional Level Committee dated August 22, 1986 a....