TaxTMI 
TaxTMI 
Minutes of the 46th meeting of the SEZ Board of Approval held on 31st May 2011 to consider proposals for setting up of Special Economic Zones
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.... in the Special Economic Zones. During the financial year 2010-11, total exports to the tune of Rs. 3,15,867.85 crore have been made from SEZs, registering a growth of about 43.11% over the exports for the year 2009-10. Item No. 46.1: Proposals for setting up of SEZs. (i) Proposal of M/s. SmartCity (Kochi) Infrastructure Private Limited, for setting up of a sector specific Special Economic Zone for IT/ITES at Puthencruz village, Kunnathunadu Taluk, Ernakulam District and Kakkanad village, Kanayannur Taluk, Ernakulam District, Kerala, over an area of 46.3773 hectares. DC Cochin informed the Board that the Developer has asked for deferment of the proposal. Accordingly, the proposal was deferred. (ii) Proposal of Karnataka Industrial Areas Development Board (KIADB), for setting up of a sector specific Special Economic Zone for IT/ITES at Gamanagatti, Hubli Taluk, Dharwad District, Karnataka, over an area of 12.15 hectares. The Board noted that the Developer was in possession of the land. The Government of Karnataka has also recommended the proposal for formal approval vide their letter dated 18th March, 2011. Accordingly, the Board decided to grant formal approval to the p....
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....ough a unit and a co-developer are required to have separate accounts, in such an arrangement the possibility of the capital goods procured by the unit being loaded onto the co-developer to absolve the unit of NFE positive obligation cannot be ruled out. The Board recognized that there was a need to arrive at an arrangement which could ensure that the affairs of the unit and co-developer are adequately ring fenced so as to avoid double dipping which could lead to a potential loss of revenue. The Board directed constitution of a committee under the chairmanship of JS (SEZ), DoC with representatives of CBDT and CBEC as members, to work out such an arrangement. Accordingly, the proposal was deferred. (ii) Request of M/s. Indian Oil Corporation Ltd. for co-developer in the port based SEZ at Puthuvypeen, Kerala developed by Cochin Port Trust. After deliberations, the Board approved the request of M/s. Indian Oil Corporation Limited for becoming a co-developer in the above mentioned SEZ, for developing storage facilities for Liquefied Petroleum Gas (LPG), laying interconnecting pipeline and setting up an inland LPG Container (Tanker) Station, in accordance with the co-developer agr....
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....there can be cases where the co-developer, after developing the area, itself occupies a substantial part of the space so developed as a unit. Even though a unit and a co-developer are required to have separate accounts, in such an arrangement the possibility of the capital goods procured by the unit being loaded onto the co-developer to absolve the unit of NFE positive obligation cannot be ruled out. The Board recognized that there was a need to arrive at an arrangement which could ensure that the affairs of the unit and co-developer are adequately ring fenced so as to avoid double dipping which could lead to a potential loss of revenue. The Board directed constitution of a committee under the chairmanship of JS (SEZ), DoC with representatives of CBDT and CBEC as members, to work out such an arrangement. Accordingly, the proposal was deferred. (vi) Request of M/s. Cognizant Technology Solutions India Private Limited for co-developer in the sector specific SEZ for IT/ITES at Sholinganallur, Chennai, Tamil Nadu, being developed by Electronics Corporation of Tamil Nadu Limited (ELCOT) After deliberations, the Board approved the request of M/s. Cognizant Technology Solutions I....
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....C Petro additions Limited (OPaL), a unit in M/s. Dahej SEZ Limited for authorized operations in the multi-product SEZ at Vagra, District Bharuch, Gujarat The BoA perused the proposal and after deliberations, the Board decided to approve the authorized operations, in the processing area of the SEZ, as given in the table: - S. No. Authorised operations No. of units Area per unit (in sqm) as per FSI/FAR norms as applicable Total area (in sqm) 1. Helipad 1 NA 44.3 m x 44.3 m (iii) Request of M/s. G.P. Realtors Private Limited for authorized operations in sector specific SEZ for IT/ITES at village Behrampur, District Gurgaon, Haryana (iv) Request of M/s. Goldsouk International Gems & Jewellery SEZ Private Limited for authorized operations in sector specific SEZ for Gems and Jewellery at village Bhondsi, Tehsil Sohna, District Gurgaon, Haryana In (iii) and (iv) above, DC NSEZ was directed to ascertain the actual requirement of the proposed facilities necessary to support the activities of the processing area of the SEZ, as also the use to which they would be put, and submit a report for consideration of BoA. A location map would also be provided.....
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....trict Yavatmal, Maharashtra, notified over an area of 208 hectares After deliberations, the Board decided to approve the request of Maharashtra Industrial Development Corporation (MIDC) for de-notification of the sector specific SEZ for Textile at Additional Yavatmal MIDC Area, District Yavatmal, Maharashtra, notified over an area of 208 hectares, subject to the DC's certificate that the developers has refunded all the tax/duty benefits, including service tax exemption, availed under the SEZ Act/Rules. Item No. 46.5: Requests for withdrawal of approval (i) Withdrawal of In-principle approval granted to Maharashtra Industrial Development Corporation (MIDC) for setting up of sector specific SEZ for Leather Industry at Yedshi, District Osmanabad, Maharashtra The Board noted that the in-principle approval of the developer has already expired on 2nd July, 2008. The Board, therefore, after deliberations decided to approve the request of Maharashtra Industrial Development Corporation (MIDC) for withdrawal of in-principle approval granted to them for setting up of sector specific SEZ for Leather Industry at Yedshi, District Osmanabad, Maharashtra, over an area of 100 hec....
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.... specific SEZ for IT/ITES at Durgapur, District Burdwan, West Bengal, beyond 24th June 2011. (ii) Request of M/s. Haldia Free Trade Warehousing Private Limited (HFTWPL) for extension of the validity period of formal approval, granted for setting up of FTWZ at Haldia, West Bengal, beyond 17th February 2011. (iii) Request of Electronics Corporation of Tamil Nadu Limited (ELCOT) for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Jagir Ammapalayam village, Salem Taluk, Salem District, Tamil Nadu, beyond 25th July 2010. (iv) Request of Electronics Corporation of Tamil Nadu Limited (ELCOT) for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Vadapalanji village Madurai District, Tamil Nadu, beyond 25th July 2010. (v) Request of Electronics Corporation of Tamil Nadu Limited (ELCOT) for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Viswanathapuram village, Hosur Taluk, Krishnagiri District, Tamil Nadu, beyond 25th July 2010. (vi) Request of Electronics Corporation of Tamil Nadu ....
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....a Pradesh beyond 16th March 2011. (xv) Request of M/s. Cognizant Technology Solutions India Private Limited for extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Adibatla village, Ibrahimpatnam Mandal, Ranga Reddy District, Andhra Pradesh beyond 6th January 2011. Item No. 46.8: Requests for second extension of validity of formal approvals After deliberations, the Board decided to grant second extension of validity of formal approval in respect of each of the following 21 (Twenty one) developers for a period of one year beyond the expiry of the validity period:- (i) Request of M/s. Parsvnath SEZ Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Nedumbassery and Chengamanadu villages, Aluva Taluk, Ernakulam District, Kerala, beyond 25th October 2010. (ii) Request of Electronic Corporation of Tamil Nadu Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Vilankurichi, Coimbatore North Taluk, Coimbatore, Tamil Nadu, beyond 15th June 2010. (iii)....
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....nal Energy including Solar Energy Equipment (originally Biotechnology) at Shendre, Aurangabad, Maharashtra, beyond 25th July 2011 (xii) Request of M/s. Unitech Infracon Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Greater Noida, Uttar Pradesh, beyond 22nd May 2011 (xiii) Request of M/s. Hyderabad Metropolitan Development Authority for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Kokapet village, Serilingampally Mandal, Ranga Reddy District, Hyderabad, Andhra Pradesh, beyond 22nd October 2010 (xiv) Request of Gujarat Industrial Development Corporation (GIDC) for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Biotechnology at Savli, District, Vadodara, Gujarat, beyond 22nd June 2011 (xv) Request of M/s. Navi Mumbai SEZ Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES-A at Ulwe, Navi Mumbai, Maharashtra, beyond 24th October 2011 (xvi) Request of M/s. Na....
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.... for third extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at village Sikohpur, Tehsil Sohna, District Gurgaon, Haryana beyond 5th April 2011 (iv) Request of M/s. Kumar Builders Township Ventures Pvt. Ltd. for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Hinjewadi, Pune, Maharashtra, beyond 27th August 2011 (v) Request of M/s. Mahindra & Mahindra Limited for third extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Biotechnology at village Owale, Ghodbunder Road, District Thane, Maharashtra, beyond 20th August 2010 (vi) Request of M/s. Metro Valley Business Park Pvt. Ltd. for third extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Information Technology (IT) at Gurgaon, Faridabad Road, Gurgaon, Haryana, beyond 5th November 2011 (vii) Request of M/s. Orient Craft Infrastructure Limited for third extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Textiles at Gurgaon, Haryana, beyond....
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....EZ for multi services at Nasik, Maharashtra for grant of extension of inprinciple approval It was noted that the validity of second extension has expired on 25th June 2010, therefore, third extension was needed to extend the validity up to 25th June 2011. Since this date is also very close, the Board allowed the extension of the validity of third and fourth extension simultaneously and extended the validity of in-principle approval up to 25th June 2012. Item No. 46.12: Contiguity Relaxation (i) Request of M/s. Navi Mumbai SEZ (NSEZ) Private Limited for relaxation of conditions of LoA regarding contiguity and multiple entry/exit gates The revised proposal submitted by M/s. Navi Mumbai SEZ (NSEZ) Pvt. Ltd. was considered by the BoA. Keeping in view the objections raised by DoR, the Board directed to constitute a committee, to be chaired by JS(AW), to scrutinize the revised proposal of NSEZ for its proper appreciation. The committee would include DC, SEEPZ, DGEP, representative of CBDT and Chief Commissioner of Customs, Mumbai. The committee would examine all issues related to the revised project including the contiguity issue of each of the five proposed SEZs. Item No.....
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.... another five years The Board after deliberations renewed the LoP of the unit for a period of 5 years from the date of expiry its validity (i.e. from 20.3.2011 to 19.3.2016). Item No. 46.17: Request of M/s. Oil and Natural Gas Corporation Limited C2-C3 Project - Dahej, a unit in M/s. Dahej SEZ Limited, Gujarat for grant of permission for entry and exit of pipelines for bringing LNG in SEZ and taking it back to the DTA After deliberations, the Board approved the request for entry and exit of pipe lines for bringing LNG in SEZ and taking it back to DTA. DC, Dahej has been directed to examine the issue regarding duty payable on the transaction involved in such operations and arrive at an acceptable position in this regard. Item No. 46.18: Request of ONGC Petro Additions Limited for notification of permitting net billing of LPG (C4) feed stock supplied from SEZ to DTA for manufacturing PIB - Parity between DTA and SEZ in net billing of petrochemical feedstock After deliberations, the Board directed that DC, Dahej should examine the process of bringing LNG into DTA and taking it back to SEZ. The examination of the proposal for 'net billing' should include the nature of th....
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.... January, 2012). Item No. 46.22: Request for extension of LoP of units beyond 5th year (i) Request of M/s. Shree Krishna Well Pack Private Limited, a unit in Indore SEZ at Indore, Madhya Pradesh for extension of LoP beyond 09.05.2010 The Board, after deliberations, extended the LoP of the unit for period of two year from the date of expiry of the validity of the last extension (i.e. up to 9th May, 2012). Item No. 46.23: Request of M/s. Jabs International Private Limited a unit in the FTWZ at village Sai, Taluka Panvel, District Raigad, Maharashtra, being developed by M/s. Arshiya International Limited, for import/export of prohibited goods (pulses) and procurement of restricted items from DTA for export. Since the proposal involved procurement of restricted/prohibited items from the DTA, the Board after deliberations rejected the proposal. Item No. 46.24: Request of M/s. Haji Sattar Habib & Sons for setting up of unit for trading of pulses in the FTWZ at village Sai, Taluka Panvel, District Raigad, Maharashtra, being developed by M/s. Arshiya International Limited Since there was no categorical statement that there will be no DTA transaction, the Board after de....
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.....29: Appeals before BoA (i) Appeal of M/s. Erba Diagnostics Mannheim GmbH against rejection of the request for setting up a unit, in SEEPZ Special Economic Zone, Mumbai The Board noted that despite a number of deferments allowed in the past at the behest of the appellant, no representative was available to present their appeal. DC, SEEPZ also informed the Board that there was no merit in the appeal. Accordingly, the Board, after deliberations rejected the appeal. (ii) Appeal of M/s. Hansen Drives Limited, a unit in Synefra Engineering & Construction Limited SEZ, Tamil Nadu, against the order of DC, MEPZ, rejecting its request for broad banding of LoP to include trading activity as part of authorized operations. The Board granted hearing to the appellant. However, after deliberations the appeal was rejected, as the firm had the direct channel available for achieving this objective, outside the SEZ framework. (iii) Appeal of M/s. SE Electricals Ltd. against the order of Development Commissioner, MPEZ SEZ rejecting its request for removal of waste and scrap in DTA which were arisen out of repair/re-engineering and reconditioning of generators/control panels at appellant....
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....eveloped by M/s. Mundra Port and Special Economic Zone Limited (MPSEZL) Regarding (ii) and (iii) the Board discussed the report of DC, KASEZ and observed that the two existing co-developers namely M/s. Eon-Hinjewadi Infrastructure Private Limited and M/s. D.B. Hospitality have not taken any effective steps towards commencement of the approved projects. The Board observed that adequate justification is necessary for approving the two additional hotel projects when those already approved have failed to take off. After deliberations BoA deferred the requests. Item No. 46.32: Request for Authorized Operations Request of Metro Valley Business Park (P) Limited for authorized operations in the IT SEZ at Gurgaon, Haryana The BoA perused the proposal and after deliberations, the Board decided to approve amendment/ addition in the authorized operations to be carried out in the processing area, as per details given below:- S. No. Name of activity/item Quantum as per existing approval Quantum Requested and Approved 1. Power Plant 50 MW 25 MW 2. Basement equal to plinth area Basement parking Storage instead of parking 3. Kitchenette Nil ....
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....46.37: Requests for second extension of validity of formal approvals After deliberations, the Board decided to grant second extension of validity of formal approval in respect of each of the following 2 (Two) developers for a period of one year beyond the expiry of the validity period:- (i) Request of M/s. Karle Infra Projects Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/ITES at Nagavara village, Bangalore North Taluk, Karnataka beyond 18th June 2011 (ii) Request of M/s. Velankani Technology Parks Private Limited for second extension of the validity period of formal approval, granted for setting up of sector specific SEZ for Electronic Hardware and Software including ITES at Sriperumbudur, Chennai, Tamil Nadu beyond 22nd May 2011 Item No.46.38: Requests for third extension of validity of formal approvals After deliberations, the Board decided to grant third extension of validity of formal approval in respect of each of the following 05 (Five) developers for a period of one year beyond the expiry of the validity period:- (i) Request of M/s. Bagmane Builders Private Limited for t....
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.... of basic infrastructure which is necessary for the units to commence their operations. The board directed DC, SEEPZ to take up this issue with the State Govt. The Board, after deliberations, extended the LoP of the following units for period of one year from the date of expiry of the validity of the last extension:- S. No. Name of the Unit Date up to which the validity has been extended LoP 1. Patni Computer Systems Limited 04.02.2012 2. Fulcrum Logic India Pvt. Ltd. 27.02.2012 3. Neilsoft Limited 06.02.2012 4. Clasoft Limited 04.09.2012 5. Omnitech Infosolutions Limited 04.09.2012 A letter may also be written to Chief Secretary, Maharashtra Item No. 46.41: Requests for extension of LoP of units beyond 4th year (i) Request of M/s. Wockhardt Limited a unit in the Pharmaceutical SEZ being developed by M/s. Wockhardt Infrastructure Development Limited at MIDC Industrial Area, Shendre, Aurangabad, Maharashtra, for extension of LoP beyond 19.07.2011 The Board, after deliberations, extended the LoP of the unit for period of one year from the date of expiry of the validity of the last extension (i.e. 19th July, 2012). (....
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....e them about the implications of the proposed shifting of unit from one SEZ to another. Accordingly, the proposal was deferred. Item No. 46.45: Request for duty free procurement of Diesel/Fuel required for default authorized operations in respect of Multi Product SEZ at Taluka Shirur and Khed, District Pune, Maharashtra by M/s. Khed Economic Infrastructure Private Limited The representative of DoR stated that they needed additional time to offer their comments on the item. Accordingly, the request was deferred for the next meeting. Item No. 46.46: Request of SEZ units for import of prohibited items (ii) Request of M/s. Southern Online Biotechnologies Limited, a Unit in APIIC SEZ, at Atchutapuram Mandal, Visakhapatnam, Andhra Pradesh for import of used cooking oil The Board, after deliberations, approved the request of the unit for import of used cooking oil for manufacturing Biodiesel, subject to the condition that:- 1) The imported cooking oil shall be exclusively used for manufacturing of Biodiesel and export thereof. 2) No DTA transaction shall be allowed. BoA directed that DC, shall ensure compliance of the above conditions by the unit. Item No....
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....f Participants for the Meeting of the Board of Approval for Special Economic Zones held on 31st May, 2011 under the Chairmanship of Commerce Secretary, Department of Commerce 1. Dr. Rahul Khullar, Chairman BOA & Secretary, Department of Commerce. 2. Smt. Praveen Mahajan, Director General (DG), Department of Revenue, Ministry of Finance 3. Shri Pradip Mehrotra, CIT (ITA), CBDT, Department of Revenue, Ministry of Finance, New Delhi 4. Shri Raman Chopra, Director (ITA), CBDT, Department of Revenue, Ministry of Finance 5. Shri Vivek Ranjan, Additional Director, Department of Revenue, Ministry of Finance 6. Dr. L. B. Singhal, Joint DGFT, Director General of Foreign Trade 7. Dr. Saroj, Director, Ministry of Environment and Forests, Pariyavaran Bhavan, CGO Complex, New Delhi - 3. 8. Shri O.P. Sharma, Scientist-E, Department of IT 9. Shri Dinesh Pahadia, Deputy GM, RIICO, Government of Rajasthan, Jaipur, Rajasthan 10. Shri Manjunath Gonda, Resident Director, Karnataka Udyog Mitra Karnataka Bhavan - 3, Khelgaon Marg, New Delhi 11. Shri S. K. Rathore, Resident Commissioner, Government of Or....