2003 (5) TMI 491

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....Dairy Development Board Act, 2000 (for short, "the 2000 Act"). 2.. With the avowed object of availing the benefit of incentives offered by the Government of Punjab under the Package of incentives, 1992, the petitioner set up a milk processing plant at phase VIII, Focal Point, Ludhiana, in 1995. After commencement of commercial production, it applied for exemption from payment of tax in terms of Package of Incentives, 1992. General Manager, District Industries Centre, Ludhiana issued eligibility certificate, annexure P.2 dated September 3, 1996, entitling the petitioner to get tax exemption for a period of 7 years commencing from September 3, 1995 with a maximum limit of Rs. 2,23,99,281. This was reflected in the order of assessment dated....

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.... a sum of Rs. 15,52,500 as the arrears of cess. 5.. The petitioner has invoked the doctrine of promissory estoppel and pleaded that after having induced it to set up industry by spending huge capital and having granted exemption from payment of tax for a period of 7 years, the State Government and its functionaries cannot indirectly recover the tax in the form of cess. It has averred that the cess leviable under section 12 of the 2000 Act is nothing but purchase tax and in view of the exemption granted in furtherance of the Package of Incentives, 1992, the respondents cannot recover the tax in any form whatsoever. The petitioner has further averred that the impugned recovery is liable to be nullified because before issuing recovery certi....