Agenda for the 92nd meeting of the BoA to be held on 04.10.2019

1.Central Board of Excise and Customs, Member (Customs), Department of Revenue, North Block, New Delhi. (Fax: 23092628). Central Board of Direct Taxes, Member (IT), Department of Revenue, North Block, New Delhi. (Telefex: 23092107). 3. Joint Secretaiy, Ministry of Finance, Department of Financial Services, Banking D o Jeevan Deep Building, New Delhi (Fax: 23344462/23366797). 4 J t ^ retary, Department of Industrial Policy and Promotion, Udyog Bhawan, New Delhi 4 J int S etary, Ministry of Shipping, Transport Bhawan, New Delhi. 6. Joint Secretary (E), Ministry of Petroleum and Natural Gas, Shastri Bhawan, New Delhi 7 1 mt S etary, MinisOy of Agriculture, Plant Protection, Krishi Bhawan, New Delhi. 8. Ministry of Science and Technology, Sc 'G' & Head (TDT), Technology Bhavan, Mehr I Road, New Delhi, (Telefax: 26862512) 9 I mt S etary, Department of Biotechnology, Ministry of Science and Technology, 7* Floor, Block 2, CGO Complex, Lodhi Road, New Delhi -110 003. 10. Additional Secretaiy and Development Commissioner (Micro, Small and Medium Enterprises Scale Industry), Room No. 701, Nirman Bhavan, New Delhi (Fax:23062315). Under Secretary to the Government of India ' Tel; 230^ 2496 Email: aditvaji@nic.in Udyog Bhawan, New Delhi Dated the^tffeptember, 2019 OFFICE MEMORANDUM

Subject: 92nd Meeting of tbe Board of Approval (BoA) for SEZs scheduled to be held on

4* October, 2019 at 11:30 A. M. -forwarding of Agenda thereof- regarding. In continuation to this department's O.M of even number dated 2"1 September, 2019 on the subject cited above, the undersigned is directed to enclose herewith the Agenda for the 92nd meeting of the BoA for SEZs scheduled io be held on 4th October, 2019 at 11:30 A.M. in Room No. 108, Udyog Bhawan, New Delhi for information and necessary action. Soft copy of the agenda has also been hosted on the website www.se^in dia. pov. in. The addressees located outside Delhi are requested to download the agenda from the above mentioned No.F.2/5/2019-SEZ Government of India Ministry of Commerce and Industry Department of Commerce (SEZ Section)

Dahcj Special Economic Zone, Fadia Chamb rs, Mumbai Special Economic Zone, SEEPZ Serv ce (Fas M b 4fO(96 rling Special Economic Zone, Sandesara Estate. 0012 Andhra Pradesh Special Economic Zone, Udyog akkapatnam-3 R ance Jamnagar Special Economic Zone, Jamnagar, Special Economic Zone, Surat, Gujarat an Special Economic Zone, Nagpnr, Maharashtra fy Special Economic Zone, Andhra Pradesh, igalore Special Economic Zone, Mangalore. , Principal Secretazy and CIP, Industries and etariat, Hyderabad-S00022. (Fax: 040-23452895). ciai Chief Secretaiy, Industries and Commerce Khairatahad, Hyderabad, Telangana. in Spe I Ec no Z ne C ch n thai. 33.Developmen Center, Cen K 34.Developmet r Atladra Padra R 35.Deveiopmen i Bhawan, 9a 36.Developmen n 37.Developmen 38.Development r 39.Development 40.Developmen 41.Government t , ^romotion Council for EOUt^SEZs, 8G, 8"1 Floor, amha Road, New Delhi - 110 001 (Fax: 223329770) Indian Institute of Management, Bangalore, .Kamataka a Special Economic Zone, Noida. K dla Special Economic Zone, Gi Special Economic Zone, Kolkata. FZ Special Economic Zone, Mi " ras Special Economic Zone, Cti Visakhapatnam Special , New Delh" Udyog Bhav Director Ge Hansalaya B Dr. Rupa Bennerghata Developmen Developmen Developmen Deveiopmen Developmen Developmen Visakhapatn Developmen Developmen Developmen Port Users B Developmen 32. 1.Secretary, Department of Electronics & Information Technology, Electronics Niketan, 6, CGO Complex, New Delhi, (Fax:24363101) 2.Joint Secreta^y (IS-1), Ministry of Home Affairs, North Block, New Delhi (Fax: 23092569) 3.Joint Secretary (C&W), Ministty of Defence, Fate 23015444, South Block, New Delhi. 4.Joint Secretary, Ministry of Environment and Forests, Pariyavaran flhavan, CGO Complex, New Delhi - 110003 (Fax: 24363577) 5.Joint Secretary & Legislative Counsel, Legislative Department, Mo Law & Justice, A-Wing, Shastri Bhavan, New Delhi. (Tel: 23387095). 6.Department of Legal Affairs (Shri Hemant Kumar, Assistant Legal Adviser), Mfo Law & Justice, Shastri Bhawan, New Delhi, 7.Secretary, Department of Chemicals & Petrochemicals, Shastri Bhawan, New Delhi 8.Joint Secretary, Ministry of Overseas Indian Affairs, Akbar Bhawan, Chanakyapttri, New Delhi. (Fax: 24674140) 9.Chief Planner, Department of Urban Affairs, Town Country Planning Organisation, Vikas Bhavan (E-Block), I.P. Estate, New Delhi. (Fax: 23073678/23379197) 0. Director General, Director General of Foreign Trade, Department of Commerce,

Copyto: PPSteCS/PPStoAS(B 43.Government of Kamataka, Principal Secretary, Commerce and Industry Department VikasSaudha, Bangalore-560001. (Fax: 080-22259870) 44.Government of Maharashtra, Principal Secretary (Industries), Energy and Labour Department, Mumbai - 400 032. 45.Government of Gujarat, Principal Secretary, Industries and Mines Department Sardar Patel Bhawan, Block No. 5, 3rd Flo (an in ^ar 3 (10 (Fix 079 23 0 ) 46.Government of West Bengal, Principal Secretary, (Commerce and Industty), IP Branch (4th Floor), SE2 Section, 4, Abanindranath Tagore Sarani (Cam tre t) KoIkata-700016 47.Government of Tamil Nadu, Principal Secretary (Industries), Fort St George, Chennai - 600009 (Fa^: 044-253701. ) 48.Government of Kerala, Principal Secretary (Industries), Government Secretariat, Trivandram- 695001 (Fax: 0471-2 3017 49.Government of Haryana, Finan 1 Comm n a. Pnn pal Sec r>) Department of Industries, Haryana Civil Secretariat, Cfiandigt (Fax: 0172-2740526). 50.Government of R^jasihan, Principal Secretary (Tndustriesl, Secretariat Can p Bhagwan Das Road, Jaipur-3020 5(01 1 177 ) 51.Government of Uttar Pradesh, Principal Secretaty, (Industries), Lai Bahadur Shastri Bhawan, Lucknow -226001 (Fax:0522-2238255). 52.Government of Punjab, Principal Secretary Department of Industry & Commerce Udyog Bhawan), Sector -17, Chandigarh-160017. 53.Government of Puducherry, Secretary, Department of Industries, Chief Secretariat, Puducliemy. 54.Government of Odisha, Principal Secretary (Industries), Odisha Secretariat, Bhubaneshwar-751001 (Fax: 0671-536819/2406299). 55.Government of Madhya Pradesh, Chief Secretary, (Commerce and Industry), Vallabh Bhavan, Bhopal (Fax: 0755-2559974) 56.Government of Uttarakhand, Principal Secretary, (Industries), No. 4, Subhash Road, Secretariat, Dehradun, Uttarakhand 57.Government of Jharkhand (Secretary), Department of Industries Nepal House, Doranda, Ranch. - 834002. 58.Union Territory of Daman and Diu and Dadra Nagar Haveli, Secretary (Industries), Department of Industries, Secretariat, Moti Daman - 396220 (Fax: 0260-2230775). 59.Government of Nagaland, Principal Secretary, Department of Industries and Commerce), Kohima. Nagaland. 60.Government of Chattishgarh, Commissioner-cum-Secretary Industries, Directorate of Industries, LIC Building Campus, 2™1 Floor, Pandri, Raipur, Chhattisgarh (Fax:0771-2583651).

Rj. in Crore) 1594.6 435.10 130.00 984.60 vestment Proposed In Teat: Plant & Machinery Construction Cost •Imh plant- 3 2 ^.No (a) Details of b : M/s. Mikado Realtors Pvt. Ltd. : Electronic Hardware, IT/1TES : Village Behrainpur, Distt- Gurugram (Haryana) :30.10.2008 : 29.10.2009 : The last extension granted by the BoA is valid upto 29.10.2019. Now, the developer has submitted request for LOA extension upto 29.10.2020. Name of the developer nest of M/s. Mikado Realtors Pvt. Ltd. for further extension of the approval, granted for setting up of Electronic Hardware, IT/1TES irampur, Gurgaon (Haryana) for one year beyond 29.111.2019. 92.2(i)Req validity of formal SEZ at Village Beh "The Board advised the Developmenl Commissioners to recommend ihe requests for extension of formal approval beyond 5 year and onwards only after satisfying that the developer has taken sufficient steps towards operationalisation of the project and further extension is based on justifiable reasons. Board also observed that extensions may not be granted as a matter of routine unless some progress has been made on ground by the developers. The Board, therefore, after deliberations, extended the validity of the format approval to the requests for extensions beyond fifth years for a period of one year and those beyond sixth year for a period of 6 months from the date of expiry of last extension". m No. 92.2: Requests for extension ofvalidity of formal approval (two proposals) 14^1 September, 2012, while examining such pi 4th October. 1019 at 11:30 A-Mdn Room No. lOS.UdvoE Bhawan. New Delhi Item No. 92.1: Confirmation of minutes of the meeting of the 91" BoA held oi

^pril21to March 22 July 19toMarch20 Remarks 90 185 (Rs. in Crore) 5% 6% 25% 83% 25% 50% 97% 100% .100% % 459739 Sqft. 459739 Sqft 459739 Sqft 459739 Sqft. 357160 Sqft. 314169 Sqft. 332458 Sqft. Area Structure Structure Services Work Structure Services Work Common Area Finishing Basement 2 Basement 3 2021-22 2019-20 Year ment Plan (Combined for Sub-Structure Project Milestone 3 S. No. Inves S. No. The developer has also submitted Development Plan of Phase-1 as given below:- March, 2020. Sept.. 2020. June, 2020. Deadline for completion of balance 60% 48% completion during last 60% 48% % completion Common Basement Tower —2 Tower—1 Phase IA —Two Tower Authorised activity 0. (c) Retails of Physical progress till date :- (since 272.80 37.87 0.44

tal investmen t extension s. in Crore) Incremen la (R 334.74 38.07 251.32 44.91 Total Investment made so far (Rs, In Crore) Total: Other Overheads Land Cost Type of Cost 4 2 1 s. No. nt since last extension: io far & incremental inv

Extension: The developer has been granted eight extensions and the last extension is valid upto 26.06.2019. The developer has requested for further extension upto 26.06.2020. 27.10.2014 27.06.2008 Rajiv Gandhi Infote. Maharashtra. 1T/ITES M/s DLF Info Park (Pu SEZ notified on : LoA issued on : Location: Sector : Name of the developer: nfotech Park, Hinjewadi, Phase-fr, Pune, Reasons for seeking extension: As per the Chartered Engineer's Certificate submitted by the developer, they have constructed 187615,139 sq. mt. total built-up area. Hence, requirement of minimum built up area (100000 Sqmt. in case of IT/1TES SEZ) within a period often years from the date of notification in terms of Rule 5(7) of SEZ Rules, 2006, has been complied with. The developer has further mentioned that they have also completed substantial work in area of Fire-fighting, Plumbing, Air Conditioning, Lift installation, Electrical, Incubation space fit outs, interior finishes & external development etc. They have setup complete infrastructure like batching plan, tower cranes, electro-mechanical workshops, full-fledged construction office setup including Labour camp & other necessary setup to complete the work on priority basts. Further, developer has stated that this project is one of the best in class USGBS LEED Platinum rated & has potential to generate more than 20000 jobs. As per Form C-l submitted by the developer, the proposed lime frame for completion of project is March 2023. Recommendation by DC: Keeping in view the incremental investment of Rs.272.80 crore, physical progress made till date, completion of the construction of more than minimum prescribed built up area, DC, NSEZ has recommended the proposal for extension in the validity of LoA of the developer tor a period of one year i.e. upto 29.10.2020, in terms of Rule 6(2) (a) of the SEZ Rules, 2006. The request is placed betbre BOA for its consideration. 92.2(ii)Request of M/s DLF Info Park, (Pnne) Ltd. for further extension of the validity period of formal approval, granted for setting up of sector specific SEZ for IT/1TES at Rajiv Gandhi Infotech Park, Hinjewadi, Pltase-IT, Punc, Maharashtra beyond 26.06.2019. ) Ltd.

approved for occupaiion/leasing by MIDC w.e.f. 15.11.2016 Total area of 28235J5 (3q.n1.) Remark q.m. sqm Ni 0.59 54.76 occupation and a ate (CTO) 18 2, Part ope 36% 38% 75% Civil Work Construction work completed * 5 Block No. DLF Info Park Pure Limied Project Name Water charges = 21.24 Security 28.91 CRB-12.42 De pm E p 9 7 in ne 0 88 Leg A Prof Fe 0 2n Misc. 17 ~ Break-up of incremental last extension 43,06.71 4,72.96 133.75 0 made from last extension 3,09.65.47 266.4.66 Investment made till 31" March 2019 2,66.58.76 7349.09 16645.01 2664.66 2018 as per the audited books as developments development of land Cost Incurred on Description n land, development of the SEZ si (Rs. In lakhs) Progress of the project:

The permissible FSI has been increased from 2f SI to 3FS1 in Elinjewadi area where the SEZ land exists. As such, they have filed revised building Master Plan drawing to MIDC opting to avail 3 FSI permissible area, by depositing the first installment of 50% fee & other charges of Rs. 7.27 crores. That unless and until the revised Building Master Plan is not approved by MiDC, they cannot carry out any concrete construction at the site. However, the increase FSI was available to the developer since August 2016. Recommendation by DC: Since, the developer has not done any construction SEZ since 2017. the proposal of the developer for extension forwarded to BoA for decision. The proposal is placed before the BoA for consideration. Item No. 92.3 Requests for extension of LoP beyond 3rd Year onwards (two proposals) • As per Rule 18(1) of the SEZ Rules, the Approval Committee may approve or reject a proposal for setting up of Unit in a Special Economic Zone. •Cases for consideration of extension of Letter of Permission (LoP)s i.r.o units in SEZs are governed by Rule 19(4) of SEZ Rules. •Rule 19(4) states that an UP shall be valid for one year. First Proviso grants power to DCs for extending the LoP not exceeding 2 years. Second Proviso grants further power to DCs for extending the LoP for one more year but subject to the condition that two-thirds of activities including construction, relating to the setting up of the Unit is complete and a Chartered Engineer's certificate to this effect is submitted by the entrepreneur. is for delay: Detail i On completion of will start the On completion of will start the building no. 06 Time line required for completion Balance Basement+ 4 | Basemenl + 7 Developed floor Basement+13 nsemen No. of floors proposed Block No. 07 Block No. 06

1. BlockNo.05 S. No. of No. buildings

% 1 Deadline completion for during last eompletio balance -im4r~^- 100% 100% 100% % completion Submission and Appointment of architect Land taken on lease and registration Authorised Activity 3. 2- '• No. (c) Details of Physical progress till dt 0.0012 S.N. (b) Investment made so tar: Incremental investment since posed Investment (Rs. in Crore) S.No. (a) Details of Bi : M/s. Algolog Systems Pvt. Ltd. : 26.10.2015 : Software Development. Nature of Business No. of Extensions LOP valid upto: •Extensions beyond 3^ year (in cases where two-third activities are not complete) and 4"1 year are granted by BoA. •BoA can extend the validity for a period of one year at a time. . There is no time limit up to which the Board can extend the validity. 92J(i)Request of M/s. Algolog Systems Pvt. Ltd., a unit in the IT/ITES SEZ of Ansal IT City & Parks Ltd. at Plot No. TZ-06, Techwne, Greater Noida for extension of LOP dated 26.10 J015 upto 25.10.2021.

92.3(ii) Request of M/s. Tech Mahindra Ltd. in MIDC SEZ at Plot No. 4, Rajiv Gandhi Infotech Park, MIDC SEZ, Hinjewadi, Phase III, Pune, Maharashtra for extension of Letter of Permission (LOP) beyond 21.10.2019 upto 20.10.2020. . LoP issued on: 21.10.2014 ? Nature ofbuslness of the Unit: IT/ITES -aperiodupto25.iO.2020. tmmendation hv DC: DC, Noida SEZ has recommended th i The request is placed before BOA for Jn terms of proviso (ii) to Ride 19(4) of SEZ Rules, 2006, "Development Con activities including construction, relating to the setting up of the Unit is complete f engineer's certificate to this effect is submitted by the entrepreneur". However, in tl part plan has tiny has •phases of 3 mo t the business ol Hence, GMDA 1 make tl and star d that the o them. : SEZ Developer 01.2019. There .07.2016 which lority. H it year itself and will ing. Unit has promise- n of the complete build operational immediately. Tl SEZ even before completio to apply for a part occupation of the building at the end of the first year lect of plot allotted t bad already paid mor tit to Gr. Noida Autl ^uthority on the ground that the instruction of SEZ un re lease period in resf irtificate against the u: ;on plan by Gr. Noida 4 Noida Authority for cc they had applied for s granted the Sanction of layt GMDA found that M/5. Al| not submitted No Dues Ci sanctioned by the Greater " 2019 i.e. This month of receipt of after Juiy 2021 (Construct NIL NIL 100% NIL NIL NIL 100% Production ^ Export Installation of Machineries Appointment of 6. ^• 4-

The request is placed before BoA for its consideration. (a) Detail of current physical progress: a The unit has commenced the construction of their IT Block 1 and related utility blocks with super built up area of 150000 sq.ft. b.On overall percentage of work around 75% work is completed since June 2018 c.The structural work is completed 100% d.All work are lined up in coordination with various stakeholders of the project to meet the total readiness of die area as per schedule before January 2020. (b) Reason for delay: The delay in construction was on account of delay in construction of boundary wall by the developer i.e. MIDC. As such, the construction of the building was delayed. Now, upon earmarking of the area, the unit have themselves started constructing the boundary wall for safeguarding their building premises and consequently they started the construction of their building and the same is now almost 75% completed. Time line for completion of project and making it operational: (a)All (^ound + 4 floors has been completed and in lerms of overall percentage around 75% of work is completed since June 2018. (b)The structure along with ^^^ade work is 100% completed for main Block No. 1 & utility blocks (c)The high side and low side MEP work is progressing and around 70% work is completed. (d)The interior and office fit out work is at a brisk pace and around 60% is completed (e)The balance work is expected to be completed by end of December 2019 and they are proposing to start operations from January 2020 onwards. Recommendation by DC: 80.35 crores Total proposed investment 35.4 crores InVe*^fon'siinCel'U't 60/25 crores Investment as on date •No of Extensions: 4by DC, SBEPZ SEZ npfo 20.10.2019

• LOP valid upto: 20.10.2019 *Request: For further extension for one year, upto 20.10.2019 Investment details:

The request is placed before BOA for its consideration. 92.400Request of M/s. Syngene Internationa] Limited, co-developer for cancellation of LoA in M/s Mangaiore SEZ Limited at Mungalore, Kurnataka. M/s. Syngene international Limited was granted co-dcveloper status on 17.03.2015 for setting up of Green Field Campus consisting of common infrastructure catering to combination of units, viz. Active Pharmaceutical Ingredients (API), Advanced Intermediates (AI), Agro Chemicals (AC) and the development of common infrastructure for their campus, over an area of 16.2 hectares in MSEZ. and LoA dated 01.10.2018 for increase in area to the extent of 2.57 hectares to the existing area of!6.2 hectares. Syngene, has submitled an application for setting up an SEZ -Unit in Mangaiore SEZ, Mangaluru for carrying out authorized operations viz., manufacture of Advanced Intermediaries (Al) and Active Pharmaceutical ingredients (API). The application was approved by the Approval Committee of MSEZ in its 48th meeting held on 28.08.2019 and subsequently the LoA dated 28.08.2019 was issued to the Unit. DC, Mangaiore has informed that since Syngene is currently a co-devcioper in MSEZ and they want to set up only one SEZ Unit of their own in the land allotted to them as a Co- Developer, it was decided in the meeting to reconcile the concurrent holding of two statuses, namely co-developer status and Unit status of the company and examine it. The company should have taken only Unit status, if the infrastructure is created for their own unit, rather 92.4 Cancellation of co-developer status (two proposals) 92.4(i)Request of M/s. Okaya lnfocom Pvt. Ltd., co-developer in M/s ELCOT Tl/ITES SEZ at Viswauathapuram Village, HosurTaluk, Krishnagiri Distt Tamil Nuadu for cancellation of LoA. ^L^. Ok^. ItPr teLm d gr uted co-d eloper talus on 25.04.2014 for providing infr rtnclfit the ITTTF5 SEZ d el ped by M/s Electronic Corporal u t Tim 1 NI Ltd V wan h p V lid e H Taluk, Krishnagiri Distt., Tamil Nadi Now, M/s Ok ja Int o PL d h qrlll cancellation of Co- Develop t d til in d rl p M I SFZ b ELC"T nd change in the emnonnDC MEPZ h to ed h tl e D I pe has given the 'No Objection Certificate" for the exit of M/s. Okaya lnfocom Private Limited from IT/ITF.S SEZ although M/s. ELCO'l" Limited took every effort to keep the client in the SEZ. DC has lurcher informed that the Authorised Officer of the SEZ has reported that the Co- Developer has not carried cut any activity in the space of land allotted to them from 2011 onwards and the same is lying vacant till date. Recommendation by DC: DC, MEPZ SEZ has recommended the proposal for cancellation of co-developer

100 100

Proposed %age Existing %agc Total M/s. DLF Commercial Developers Ltd. (wholly owned subsidiary of DLF Limited) M/s. DLF Limited Name of shareholders 1. S.No. Optional Convertible Redeemable Preference Shares (OCRPS): 100 28.87 71.43 %ane Total M/s. DLF Commercial Developers Ltd. (wholly owned subsidiary of DLF Limited) M/s. DLE Limited along with its 6 Nominees Name of shareholders 2. S.N0. Equity of shares : Proposed 100 %aee M/s. DLF Limited along wilh its 6 Nominees Name of shareholders 1. S-No. The details of the shareholding patte Equity of shares : Existing In terms of DoC's Instruction No. 89 dated 17.05.2018, re-org developer and co-developer including change in shareholding pattern, business transfer arrangements, court approved mergers and de-mergers in case of developer/co-developer etc. are to be undertaken by the Board of Approval. 92.5{i)Request of M/s. DLF Info Park (Pune) Ltd. SEZ at Plot No. 29 & PL-2, Rajiv Gandhi Infotcch Park, Hinjewadi, Phase-II, Pune for change in shareholding pattern of the company. The above mentioned SEZ was granted LoA on 27.06.2008 and notified on trol (four n in respect of if ppp Co-developer in MSEZ. The proposal is placed before the BoA for consideration. 92.5 Proposal for change of shareholding pattern/ name/change of c proposals) Recommendations by DC:-

Recommendation by DC:- The formal approval issued to the developer for development of the SEZ was valid uplo 20.06.2019. The developer has requested for extension of the formal approval for a further period of one year i.e. upto 20.06.2020. The said proposal has also been forwarded to BoA for decision, as the developer has not undertaken any construction activity for development of the SEZ since 2017. The application for change in shareholding jiattem has been scrutinized and found in order. Hence, the proposal for change in shareholding pattern of M/s. DLF Info Park (Puue) Ltd. is recommended by DC, SEEPZ subject to the condition that Developer's request for extension of validity of period of formal approval is approved by the BoA for a further The proposal is placed before the BoA for consideration. 92.5(ii)Request of M/s. Brookefields Real Estates and Projects Pvt. Ltd SEZ located at Bangalore (Developer) for change of name to M/s. Brigade Properties Private Limited. M/s. Brookefields Real Estates and Projects Pvt. Ltd was granted Formal App o to 31.03.2010 for IT &. TIES /BPO/Electronic Hardware at Brookefields, Kundalahalli Marthtdialli Post, Bangalore. The proposal of the developer for amalgamation/merger of M/s. Brookeflclds Real Estates and Projects Private Limited (transferor company) with t h lding u.n pa y M Brigade Properties Private Limited (transferee company) through a scheme of Amalgan under Section 233 of the Companies Act, 2013 on the basis of the confirmation od f Scheme of Amalgamation issued by Ministry of Corporate Affairs, RO, Hyd abad on 25.04.2019 was approved by the BoA in its 9l" meeting held on 06 08 010 Ho c e th proposal for change in name was left out at that time. Recommendation by DC: DC, CSEZ has recommended the proposal for change in name from M/s Brookefields Real Estates & Projects Private Ltd. to M/s Brigade Properties Pr a L m ted The proposal is placed before the BoA for consideration. 92.5(iii) Request of M/s. Woekhardt Infrastructure Development Ltd. at Five Star Industrial Estate, MIDC, Shendre, Aurangabad for change of name to M/s. Woekhardt BioPharma Ltd. M/s. Woekhardt Infrastructure Development Ltd. was granted Formal Approval on 03.11.2U06 for Pharmaceuticals SEZ at Five Star Industrial Estate, MiDC, Shendre, Aurangabad. The SEZ was notified on 17.04.2007.

Now, the developer has requested for change of name from M/s. Woekhardt Infrastructure Development Ltd. to M/s. Wockhardt BioPharma Ltd.. The No Objection Certificate dated 24.06.2019 of the O/o Registrar of Companies has also been provided There will he no change in list of Directors/shareholding pre and post name change as per the developer. Recommendation by DC: DC, SEEPZ SEZ has recommended the proposal. The proposal is placed before the BoA for consideration. 92.5 (iv) Request for transfer of Global Village Tech Parks SEZ from Tangliu Developments Limited (Developer) to Global Village Tech Parks Private Limited and proposed change in control of GV Tech Parks Private Limited. M/s. Tanglin Developments Limited was granted Formal Approval on 28.06.2006 for setting up of a sector specific SEZ for 1T/1TES at "Global Village", Pattenegere/Mylasandra Villages, Off Mysore Road, RVCE Post, Bangalore, in the State of Kamataka. The SEZ was notified on 05.10.2006 over an area of 26.673 ha. M/s. Tanglin Developments Limited has presently floated another subsidiary viz. M/s. G V Tech Park Pvt. Ltd, which has been incorporated on 26.08.2019. M/s. Tanglin Developments Limited is transferring the assets and iiabi lities to M/s. GV Tech Park Pvt. Ltd. in lieu of which M/s. GV Tech Park Pvt. Ltd, the new Developer, shall be issuing Optionally convertible debentures to TDL. Subsequently TDL shall be transferring the optionally convertible debentures to Acquirers viz. M/s, BREP Asia 11 Indian Holding to M/s. I (NQ) Pvt. Ltd. Singapore (A member of Blackshore Group) and Sattva Developers Pvt. Ltd. after which the shareholding pattern will change. Iliese ehanges are all in the pipeline and are in the process of being executed. As such, the Developer has requested for pre-approval. Recommendation by DC:- EC, CSEZ has placed the request before BoA for its consideration. 92.6 Miscellaneous Cases (five proposals) 92.6(i)Writ Petition (Civil) No. 13841/2018 filed by M/s Jagat Gems and JewelleryVs Union of India and others before the Hon'ble High Court of Delhi. M/s, Jagat Gems & Jewellery was issued Letter of Approval (LoA) on 10.03.2000 for Manufacturing & Export or Plain & Studded Gold Jewellery. The unit commenced its export production w.e.f. 30.03.2000 and LOA of the unit was valid till 03.11.2016. The Unit Approval Committee, Noida SEZ in its meeting held on 01.03.2017 concluded thai the unit has been lying nun-flmctional since 2010-11 and even after giving enough opportunities the unit had foiled to re-start its activities. The Approval Committee did not find any merit in this case for further extension in the validity of LOA and accordingly

did not agree for lurther extension of LOA and "after due deliberations, came to the conclusion that LOA of the unit stands expired w.e.f expiry of its validity on 03.11.2016 and consequently lease right being co-terminus with validity of LOA also stands expired on the same date in terms of provisions of Rule 11 (5) of SEZ Rules, 2006. The Apiproval Committee directed the Estate Management section to take necessary action against the unit under provisions of Public Premises Act for realization of outstanding lease rent and to takeover possession of space allotted to it. The decision of the Approval Committee was conveyed to the unit by DC, NSEZ on 23.03.2017. The unit had preferred an appeal before the BOA against the above decision of the Approval Committee, which was considered by the BOA in its 77th meeting held on 12.05.2017. The Board decided that, "After deliberations, the Board rejected the appeal in view of the fact that no activities carried out by Ihe unit since 2010 and even after two extensions given by the Approval Committee, no activity has been commenced." M/s. Jagat Gems & Jewellery had then preferred a case in the High Court of Delhi against rejection of its appeal by BOA for revocation of LOA cancelled by Approval Committee. The Hon'ble Court has disposed of foe case vide judgment dated 17.07.2019 in W.P. ' (C) No. 13841/2018 filed by M/s Jagai Gems & Jewellery Vs Union of India & Others. The operative part of the said order reads as under: "10. Reading of the order dated 12.05.2017 passed by the appellate authority would show that the said order is not a reasoned order. Applying the taw laid down by the Apex Court to the facts of this case, we set aside Ihe order of the Appellate Court. 11.Without expressing any opinion on the merits of the matter and having regard to the fads, Ihe unit find thai ihe order of the appellant court is not a reasoned order. Accordingly, the unit set aside the order of ihe appellate court The appellate court will grant one opportunity of hearing to the petitioner. The petitioner would be entitled to produce such documents which they deem appropriate. The appellate authority will decide the matter in accordance with law within six weeks front the date of receipt of the order. It is agreed that till the final decision is rendered, the subject property shall not be put lo auction and in case the matter is decided against ihe petitioner the protection shall continue for a period of three weeks lo enable the petitioner to seek such remedy as available to it in accordance with law. 12.Accordingly, ihe writ petition and CM. nos.54073/2018 and 8214/2019 are disposed of with the above directions. " As such, the Appellate Authority i.e. the Board of Approval is required to grant one opportunity of hearing to the petitioner, who will also be entitled to produce such documents which they deem appropriate. The petitioner has vide Iheir submissions dated 09.09.2019 addressed to the BoA has sought for directions to DC, NSEZ to renew the LoA and lease primarily on the following grounds:

a)After the period 2010-11 all the international markets crashed, thereby all the exports from SEZ units were declined in view of unfavourable global market. At present, the firm is having valuable confirmed export orders from foreign b)A Show Cause Notice was issued to the firm on 19.02.2014 as to why penally should not be imposed in the provision of Foreign Trade (Development & Regulation) Act, 1962 and LoA not be cancelled under the provision of SEZ Act, 2005. The SCN issued in 2014 for the purpose of penalty and cancellation of LoA has not been adjudicated and the proceeding against the same is put in abeyance. The action taken by Development Commissioner is totally illegal as in SEZ Rule and Act there is no provision of automatic cancellation of LoA if the extension has not been granted. If LoA has been granted the same can only be taken by way of cancellation prescribed in Rule 16 for the purpose of p^rsistent violation for the c)The Approval Committee has foiled to appreciate that during the period of 10 years the firm has made the export of more than USD 104 Million and on the basis of their export performance the Development Commissioner has enhance the validity period of LoA from time to time and even on the basis of export performance and considering the need of the unit not only allotted a single plot but three plots. The firm states that they have achieved a positive NFE during the oj>eralional period. d)The Approval Committee foiled to appreciate that after 2010 a sudden change has been arisen In the market of the god jewellery, the demand has unexpectedly dipped, the price of gold enhanced and apart from the same the sole proprietor of the firm met with an accident and was totally disassociated with business. e)Despite adversities the firm tried to revive and placed a compliance certificate in 2013 before the authority however could not be able to revive the exports. The Authority refused to grant LoA on the ground that foe partner of the firm is also registered with other firm. f)The Approval Committee tailed to appreciate that any manu^acturing unit cannot start the work without the electricity and in the case of firm the electricity disconnected from the previous unit and not p^ovided Ihe connection on the new unit and therefore, they are not in position to commence the manufacturing. g)The firm has paid the lease amount to the Office of Development Commissioner, h) The Approval Committee failed to appreciate that before the hearing of the appeal, the firm has even submitted the export order received from the various foreign supplier which itself reflect the intention as well as the possibility of commencing the production. i) The previous employees are ready to work with the firm and they have export orders. If one opportunity is granted to the firm they can commence production and do the export within 3-6 months and again generate the employment for around 50 people. Submitted for consideration by the Board of Approval.

92.6(li)Request of M/s Rain CO Carbon (^vl^g) Ltd. for procurement of Raw Pet Coke (RPC) from DTA units. Rain CII Carbon (Vizag) Limited was granted LOA on 14.09.2017 for manufocture of Calcined Pet Coke (CPC) from imported Raw Pet Coke (RPC). DC, APSEZ Stated that as per DGFT, RPC is "Free" under export policy. According to Section 2(m) of the SEZ Act, supplying goods and providing services from DTA Units is "export". Accordingly, supply of RPC from DTA to SEZ unit does not require any permission under Export policy of DGFT. However, the matter was referred as agenda note since RPC is a restricted item under Import policy of DGFT, under rule 27(1) of SEZ Rules read with Instruction No. 47. The request of the unit for purchase of raw petroleum coke from DTA, local refineries was taken up by this Department with the DGFT and vide their OM dated 1 S.07.2019, the DGFT has clarified that supply of any item from DTA to SEZ is treated as export. Hence, export of petcoke from DTA to SEZ will be governed under Export Policy and export policy of petcoke is 'free'. DC, APSEZ has stated that a similar case of M/s M & G Impex (India) Ltd., Mahendra World City, Jaipur was considered by Ihe BoA wherein M/s M &G frnpex (India) Ltd., Granite is also a restricted item under import policy, not a restricted item but freely exportable item under Export Policy, The case was discussed, deferred and once again taken up in the meeting of 90lllBoA, where in the Board decided to defer the proposal. The Board was of Ihe view that the instruction no. 47 and the provisions of Rule 27(1) of the SEZ Rules, 2006 may be revisited and if required a suitable amendment may be carried out in SEZ Rules, 2006. It (hat Provided also thatjor supply of Restricted Items by a Domestic Tariff Area Unit to Special Economic Zone Developer or Unit, the Domestic Tariff Area Unit may supply such items lo a Special Economic Zone Developer or Unit far setting up infrastructural facility or for setting up of a Unit and it may also supply raw material to Special Economic Zone Unit for undertaking a manufacturing operation except refrigeration, culling, polishing and blending, subject to the prior approval of Board of Approval. Since the import of RPC is restricted, the proposal to procure RPC from DTA to SEZ unit requires to be placed before the BoA for approval in terms of Rule 27(1) of the SEZ Rules, 2006. Submitted for consideration of the BoA. 92.6 (iii) Proposal of M/s. Orvi Design Studio for import of Marble Blocks and Marble Slabs as raw material in respect of its unit located iu the Multi-Product SEZ of M/s. Mahindra World City (Jaipur) Ltd. at Village Kalwara, Thai, Bhamboriya, Bagru Khurd & Newta, Tebsil-Sananer, Distt- Jaipur (Raj as than). M/s. Orvi Design Studio was granted LOA dated 28.02.2011 & subsequent amendment tellers dated 13.07.2017, 08.03.2018 & dated 14.08.2019 for Setting up of unit in

the Handicraft SEZ (now merged as Multi-Product SEZ) of Mahindra World City (Jaipur) Ltd. at Jaipur (Rajasthan) for manufacturing of following items:- (i) Handicraft Stone Tiles. (ii) Handcratted Raku Ceramic Tiles (HS Code-69010030). (iii) Handcrafted Shattered Glass tiles (with & without inlay work) (HS Code- 70169000). (iv) Handcrafted Wooden with Metal Tiles (HS Code-44219190). (v) Handcrafted Glass with Metal Tiles (HS Code-70200090). (vi) Handcrafted Liner with Copper, Brass & Steel (HS Code- 74071030, 74199930, 73269099) (vii) Handcrafted Marble (With & without Inlay Work) (68022190), Limestone (25210090). Sandstone (25162000), Granite (With & Without Inlay Work) (68022310), Slate Stone(6 803 0000) Quartzite (25062090). (viii) Handicrafts aft type of stone with inlay work with Mother of Pearl, Lapis Lazuli, Malachite, Agates & other coloured stones (HS Code-68029900). (ix) Handicrafts glass tiles with inlay work with Mother of Pearl, Lapis Lazuli, Malachite, Agates& other coloured stones (HS Code-70169000). (x) Handicrafts wooden tiles with inlay work with Mother of Pearl, Lapis Lazuli, Malachite, Agates& other coloured stones (HS Codfr44209010). (xi) Handicrafts raku ceramic tiles with inlay work with Mother of Pearl, Lapis ILazuli, Malachite, Agates& other coloured stones (HS Code-69149000).| M/s. Orvi Design Studio has submitted proposal for import of Marble Block (HS Code-25151210) and Marble Slabs (HSCode-25151220) having thickness more than 20 MM for manufacturing of handcrafted tiles. Slabs & other items. The unit has stated currently they are in negotiation with a project to supply readymade vanities with hand carving / inlays but the thickness of the marble to be used is 30 MM. However, due to the notification No. 28(RE-20l5)/2015-2020 dated 17.09.2016, they are unable to import marble and thus might lose a large multi-year potential order. Unit has further mentioned that as per aforesaid Notification dated 17.09,2016, importing Marble Tiles / Slabs with thickness more than 20MM is not allowed hence they are seeking permission from this office to add Marble Block and Marble Slabs-Thickness more than 20MM in its LOA. Unit has further mentioned that their NFE Earnings will definitely increase substantially and same projections they have incorporated in projected foreign exchange balance sheet with sale projection and these figures have already been submitted to DC office. DC, NSEZ states that as per Notification No. 28(RE-2015 )/2015-2020 dated 17.09.2016, "The import Of items under the ITC(HS) Codes 6802100(1, 68022110, 68022120, 68022190, 68029100, 68029200 and 25151220 related to Marble slabs is permitted freely provided CIF value is US S40 or above per square metre (for maximum thickness of slabs of 20MM)w.e.f.01.10.2016."

Ihe unit had commenced its operation on 29.04.2014. Accordingly, the LoA is valid upto 28.04.2019. The unit lias requested for renewal of LoA fora further period of five years from 29.04.2019 to 28,04.2024. DC, VSEZ has informed that as per the guidelines the performance of foe unit has been reviewed, for the period from 29.04.2014 to 28.02.2019 (59 months) and the result of foe review revealed that the unit has accrued a negative NEE of (-) Rs. 2687.42 lakhs during the block period of 2014-2019. <j foi niiiituiuciujc vi rtt. of LoA upto 28.06.2019. operation on 29.04.2014. Accordingly, foe LoA is valid . i —r i ^ * .?c.I.-..! J ^r c^ LoA on 13.01.2010 for me unit was grantee Ingredients and export. The unit The unit had commenceu its opera upto 28.04.2019. The unit lias requested ft t^,m 09 04 ?niO n\ OS 04 7074 TV Vt In this regard, it may be mentioned here that Point No. (iii) of Instruction No. 47 dated 04.03.2010 issued by DOC, provides as under in respect of SEZ utiits:- (iii). In respect of supply of Restricted items by a DTA unit to SEZ Developer / unit, the DTA unit can supply such items to a SEZ Developer or unit for setting up infrastructure facility or for setting up of a unit. It can also supply raw material lo SEZ unit for undertaking a manufacturing operation except refrigeration, cutting, polishing and blending. However, it will require prior approval of BOA. ^ Recommendation by DC:- Thc proposal of M/s. Orvi Design Studio for import of Marble Block (HS Code- ' 25151210) and Marble Slabs (HS Code-25151220) having thickness more than 20 MM for manufacturing of handcrafted tiles, Slabs & other items, from its unit located in the Multi- Product SEZ of M/s. Mahindta World City (Jaipur) Ltd. at Jaipur (Rajasthan), is recommended in terms of Instruction No. 47 dated 04.03.2010, for consideration by BoA. The proposal is placed before the BoA for consideration. 92.6 (iv) Request of M/s. Dr. Roddy's Laboratories Ltd. (CTO SEZ Process Unit.I) a unit in Ms. Dr. Reddy's Laboratories Ltd. for manufacture of Pharmaceuticals & APIs at Devunipalavatasa Village, Ranasthalam Mandal, Srikakulam District for extension of Letter of Approval by another one year. I Restricted I Iinportsubjict to Policy Condition (2) of the ChapteT~ Policy Condition 12): hnport permitted freely provided CIF value is US S 200 or above per MT. Restricted Import subject to Policy Condition (4) of foe Chapter. Policy Condition (4): import permitted freely provided CTF value is US S 40 or above per square meter (for maximum thickness slab of 200 MM).

Hie request is placed before BoA for its consideration. 92.6 (v) Request of M/s ZF Wind Power Coimbatore Pvt Ltd. for review of decision of the Board of Approval in connection to their proposal for undertaking repair/re- engineering etc. of gear box units manufactured by DTA Units. M/s. ZF Wind Power Coimbatore Pvt. Lt( Coimbatore Private Ltd.. Coimbatore was is manufacture of "Gear Units for Wind Turbines". An appeal of the unit against the adverse order of foe DC, MEPZ SEZ in relation to request for amendment in LoA to include repairs/re-engineering/re-making of defective gear box units was considered by the Board of Approvai(BoA) in its 32 meeting held on 23.02.2009. The Board decided to include repair and re-engineering activities only in respect of items manufactured either by the unit or by Us parent company and not by any other third party-Indian or overseas. The Board further observed that while repair/re-engineer ing/re-making of gear boxes imported directly and exported back will not be difficult proposal to consider, in respect of gear boxes -isofRule53ofSEZRules. A show cause notice dated 25.06.2019 was issued to the unit under the Foreign Trade (Development & Regulation) Act, 1992 for failure to achieve the positive NEE during the I*Block period and directed them to reply foe show-cause within 15 days from the date of receipt of the notice as to why action should not be taken against them to impose fiscal penalty. As informed by the DC, they are not In a position to achieve the positive NFE at foe end of five year block period owing to several technical and administrative reasons which are beyond their control. The primary reasons for negative NFE is due to teething problems with the new type of machinery, selection of new products and the stringent testing which have taken enough time In foe last live years. The other reasons are that the products (i.e. Iron Sucrose, Enoxaparin sodium, Posacanazole) planned and foe technology adopted is new as such most of the raw materials have been consumed for testing and analysis which has resulted in negative NFE. However, foe unit has informed that as per the Export and Import figures it is clear that foe exports are increasing from 4^ year onwards which had resulted in decrease of the negative NFE to some extent. The export figures in the 4th year and S"1 year had reduced foe negative NFE from Rs. 3392.09 lakhs to Rs. 2687.42 lakhs as on 28^ February, 2019. As per foe action plan foe unit has anticipated an export turnover of Rs. 15,000.00 lakhs during 2019-20. The Show Cause notice has been adjudicated and vide order dated 26,08.2019 and a penalty of Rs. 26.87 lakhs has been imposed on foe unit for failure to achieve positive NFE.

tioning of Gear Box units covered under warranty. Hi) Undertake repair/re-engineering and reconditioning of Gear Box Units imported iv) Undertake repair/re-englnecring activities in respect of Gear Box Units from DTA manufactured either by the Unit or its Parent company in Belgium which are beyond warranty. v) Undertake manufacture of parts of Gear Box Units. Service activities: Trading in spare parts of Gear Box units for Wind Turbines. The request of the unit was again considered by the BoA in its 46' meeting held on 31,05.2011. The Board after deliberations approved the request of the Unit for undertaking third party repair/re-engineering activities of gearboxes. BoA clarified that such repairs, engineering activities would be carried out only on gear boxes imported from outside India and subject to foe condition foal foe repaired gear boxes including ..waste, scrap etc. should be re-exported as per Rule 18(4)(d) of the SEZ Rules. No repair/re-engineering activities were permitted for gear boxes etc. from DTA. Again on deliberation of the issue by the Board in its 78th meeting held on 03.07.2017, it was observed that if tire unit wants to have a full-fledged service unit, they may apply for a separate unit for engineering, repairing services so that accounts are not mixed and NFE criteria is separately complied with by foe new services unit. The Unit vide their letter dated 26.03.2019 requested DoC for review of the decision token by BoA in its 7801 meeting on foe grounds that the activity is covered under Section 2(r) of foe SEZ Act; their customers in India are forced to export the gear boxes for repairs ete. causing loss to their business and country and that foe Specified Officer had recommended their case for consideration. Section 2(r) of foe SEZ Act, 2005 stipulates that, "manufacture" means to make, procedure, fabricate, assemble, process or bring into existence, by hand or by machine, a new product having a distinctive name, character or use and shall include processes such as refrigeration, cutting, polishing, blending, repair, remaking, re-engineering and includes agriculture, aquaeulture, animal husbandry, floriculture, horticulture, pisciculture, poultry, The unit had informed that, the waste/scrap generated out of the proposed activity would be sent back to DTA customers upon payment of applicable duties and taxes including 1GST. In case of authorization by the customer, they will sell the waste and scrap to an authorized re-scller in the D fA upon payment of applicable duties and taxes including IGST. All the waste and scrap referred to above are recyclable and would be sold to scrap dealers who in turn, would sell il foundries which use foe same as raw regulatio^s are adhered to. Subject to this, the Board decided to grant approval to t proposal. Subsequently, DC, MEPZ SEZ issued an amended LoA, vide which foe ui was permitted to undertake the following:

The Board of Approval in its 91" meeting held on 06.08.2019 deliberated on the issue and also heard submissions by foe representatives of M/s ZF Wind Power Coimbatore Pvt. Ltd. who also submitted a written brief on the issue. After deliberations, the Board directed DC, MEPZ to examine the proposal from M/s ZF Wind Power, especially the mode of assessment of goods as well as the service portion of foe transaction as proposed by foe unit and submit to the Board for consideration. Now, as per foe directions of ihe Board, DC, MEPZ has furnished a detailed report of the Specified Officer on the mode of assessment to duty be adopted while clearing such goods to DTA unit after re-engineering by foe SEZ unit i.e. ZF:- (1) The Defective Gear Box is received by the SEZ Unit under a Returnable Delivery Note without mentioning any commercial value. (ii) During the re-engineering by the SEZ Unit, major spare parts are replaced with new ones for upgradation. (iii) After completion of foe process, the unit holder ZF raises an invoice mentioning the commercial value of Ihe materials replaced and the operation charges involved in the process. They also raise a Bill of Entry for assessment, (iv) Authorized Officer upon receipt of foe Invoice and Bill of Entry performs the following assessment a)Gear box Is classified under HSN Code No. 84834000. Hence, foe materials replaced in foe gearbox received for re-conditioning which are parts of Gear Box are also classified under HSN Code No. 84834000 by virtue of Section XVI Note No. 2(a). {Section XVI Note No. 2(a): Parts which arc goods included in any of the headings of Chapter 84 or Chapter 85 (other than headings 8409, 8431, 8448, 8466, 8473, 8487, etc..) are in all eases to be classified in their respective headings) b)Duty is computed in this case on the ^value of repairs' as envisaged in Rule 49(2)of SEZ Rules, 2006. {Rule 49(2): Goods supplied by a Unit to DTA ion payment of duty may be brought back to foe unit for the purpose of repair wlfoin a period of six months from the date of clearance, or within such period as may be extended by the Specified Officer or within the warranty period which is later, on payment of duty on foe value of repairs subject to the condition that the identity of goods is established to the satisfaction of the Specified Officer) c)The value of repairs is foe sum of value of parts replaced and value of operation d)The transaction value of parts replaced is taken for assessment on consonance with Customs Valuation Rules. After classification under HSN Code No. 84834000, the applicable rate of duty i.e. BCD @ 7.5%; Social Welfare charge @IO%; and IGST @5% are charged on the value of foe materials replaced; e)With regard lo Operation Charge, the sendee of'Operation Charge' is classifiable under HSN Code No. 9987 (Maintenance, repair & installation service and there is not BCD as per foe Customs Tariff Act, 1975 for HSN Code No. 9987; However, IGST @ 18% is charged on Ihe value of Operation Charges. nended the matter for

generated from the manufacturing operations. Though the proposed activity is estimated to be around 5% of their total turnover, the entire export business and Ihe whole volume of trade and their expansion plan is dependent on the ability to carry out this activity, else their survival in foe re-engineering market in India will be very difficult. It will not be commercially and technically feasible for them to set up a separate unit for carrying out the re-engineering activity. Recommendations by DC- DC, MEPZ has requested that foe proposal may be placed before the BoA for re- 92.7 Appeal (three appeals) 92.7(1)Appeal of M/s. Zoho Corporation Private Limited (ZCPC) against Ihe decision of the UAC, MEPZ Special Economic Zone vide order dated 11.07.2019 rejecting Ihe request of the unit for procurement of mobile phones duty free for use of its employees in DTA at depreciated value. Gist of order appealed against M/s Zoho Corporation Private Limited, a software product company engaged in the development and sate of software products (both web based and mobile applications) had applied for approval for procurement of mobile phones at zero rate and usage of mobile phones outside the SEZ premises by the employees of Ihe unit. Approval was also sought for claim of depreciation at the time of removal of goods to DTA on account of sale or loss of The request was considered in the UAC meeting held on28.06.2019. After deliberations, foe Committee decided to reject foe request as Instruction No. 85 has allowed usage of only laptops at home or at any location outside the SEZ premises with some prescribed requirements and this cannot be extended to usage of mobile phones without the explicit approval of the Department of Commerce. Further, that since foe Committee rejected the request for procurement of mobile phones duty free for use of their employees, it was not relevant to con tder Ihe reque for ling -no tie ^^one r DTA a dep ectaled value Contentions of ^ppeal (t) The^ are a ftvrare product cemp nj engaged in developing mobile based appli^ati^ns and module Hence it is inevitable to undertake oftware development coding and testing activities tor mobile applications without mobile phone (i 1 Operating in software industry there is a d re need for un Tempted inter etion and coordin^tion armng various tctmc within the organi atlon i necessarv throughout the entire product liiecvele viz ideation research and development testing sale and marketing rapport rvices etc before a product s ottered in the market (in) Considering the mlnn ic nature of the ob profile ol each of the above team it would be difficult for Iheir employees to be present in the office premise al all times to cany out their work roles.

(iv) It is inevitable to ensure that all their employees (product development, sales and marketing and support functions) are well equipped with the necessary resources like laptops, mobile phones with access to emails and other applications so as lo enable seamless performance by their employees in their respective roles and also enable close coordination across the teams. (v) Mobile phones are provided only to their employees who are performing authorised operations. Mobile phones are not provided to trainees, interns, contract employees, and other non-permanent staff. (vi) All mobile phones are equipped with their in-house software applications (emails, calendar, document, sheet, presentation, books, etc.) which are being used by their employees to perform their respective job roles. (vii) All mobile phones are monitored by Zoho's system administrator to ensure authorised usage and activity logs of the users are constantly tracked and archived. (viii) Instruction No 85 issued by the Ministry of Commerce and Industry dated 02.08.2016 permits usage of laptops at home or at any location outside the SEZ premises subject to certain prescribed requirements. They are of the opinion that foe above instruction should be equally extended to usage of mobile phones as well. (ix) In today's technologically advanced economy, a mobile phone is capable of performing at par with laptops and computers. Mobile phones are an integral part of communication network and hence it is inevitable for their employees to carry out their work without mobile phones. (x) They have not provided mobile phones to any of their employees for exclusively personal use or for performance of any non-authorised operations. Personal usage of foe mobile phones by the employees is only incidental to their possession of the handset and is not the sote/primary purpose of providing mobile phones to their employees. (xi) Upon removal of mobile phones from SEZ, duty is being computed and paid. In computation of foe value of the asset for determining the liability towards duties and taxes, depreciation as permitted by Rule 49 or the SEZ Rules 2006 has been reduced from the cost of purchase of the mobile phones. Any asset is subject to wear and tear upon usage. Hence, allowance of depreciation claim requires reconsideration. Rule position :- Rule 34 Utilization of goods The goods admitted into a Special Economic Zone shall be used by Ihe Unit or ihe Developer only for carrying oul the authorized operations but if the goods admitted are utilized for purposes other than for the authorized operations or if the Unit or Developer fails lo account for the goods as provided under these rules, duty shall be chargeable on such goods as if these goods have been cleared for home consumption: a Unit is unable io utilize the goods or services imported or

(b) depreciation in value shall be allowed for the period from the date of commencement of production or where such capital goods have been received in the Unit after such commencement of production from the date such goods have been put to use for production till the date of presentation of Bill of Entry for home consumption; (cj depreciation shall be allowed in straight line method as specified below, ttamely:- (i) for computer and computer peripherals for every quarter in the first year at the raieof ten per cent for every quarter in the second year at the rate of eight per cent for every quarter in the third year at the rale of five per cent for every quarter in the fourth and fifth year at Ihe rale of one per (it) for capital goods other than computer and computer peripherals for every quarter in the first year at the rate of four per cent, for every quarter in the second year at the rale of three per cent, for every quarter in the third year at the rate of three per cent, for every quarter in the fourth and fifth year at the rate of two and half per cent, and thereafter for every quarter at the ft may be noted lhat a similar request for procurement of mobile phones by M/s Salesforce.com India Pvt. Ltd. was received from VSEZ. The matter was examined in this Department and DC, VSEZ was asked to deal with the proposal in accordance with the provisions of Rule 50(1) (e) of the SF-Z Rules, 2006 subject to necessary safeguards to ensure (b) without payment of duty of customs leviable thereon under the First Schedule to ihe Customs Tariff Act, 1975 (51 of 1975) and additional duty, if any, leviable therein under subsections (1), (3) and (5) of section 3 of the said Act and such sale shall also be made without payment of integrated tax and compensation cess leviable thereon under sub-sections (7) and (9) of section 3 of the said Act as per notification issued by Department of Revenue and such exemptions, as applicable: ftv) dispose oftiu same in the Domestic Tariff Area onpaymenl of applicable duties on tin bast^ of an import licence submitted by the Domestic Tariff Area buyer, vt hireur applicable. Rule 49. Domestic Tariff Area removals -abatement of duties in certain eases sell the same taolher Unit or to an Export Oriented Unit or Electronic Hardware Technology Park Unit or Software Technology Park or Bio technology Park, without payment of duly: or sell to an Export Oriented Unit or Electronic Hardware Technology Park or Software Technology Park or Bio Technology Park-

e) arty other goods with the prior approval of the Authorized Officer. The appeal is placed before the Board of Approval. 92.7(ii)Appeal of M/s. W.& Industries (India) Limited against the decision of the UAC, APSEZ Special Economic Zone vide order dated 17.07.2019 declining request to extend the validity of the LoA for the 31" block period of 2019-2024. Gist of order appealed against M/s. W.S.Industries (India) Limited, incorporated on 23.08.1961 has been manufacturing products in the Electrical Transmission and Distribution industrial segments since 1965. The l6 Lplant was set up by the Appellant in Porur, Chennai. In the past years, the Appellant achieved various credits including being the first company to commence export sales of high voltage insulators from India aswell as to obtain the first ISO 900 quality certification. The request of foe company for setting up a manufacturing unit for Ceramic / Porcelain Insulators in foe Andhra Pradesh Special Economic Zone, Atchutapurann, Visakhapatoam was considered by UAC, VSEZ and on 14.05.2007 approval was granted to set up a plant within the premises of foe SEZ.In the initial years, the unit achieved reasonable success in establishing itself as a high quality producer of high performance insulators. However, when the production started in the year July 2009 the insulator industry was severely impacted by large-scale flooding of Chinese products into Ihe global markets creating a major upheaval in foe market dynamics and caused irreparable injury to the Indian Companies. Die request of the unit for renewal of LoA for manufacture of High Voltage Ceramic Insulators etc. for a further period beyond 09.07.2019 was not acceded by foe Development Commissioner due to foe following reasons vide letter dated 17.07.2019: (i) Unit could not be brought into operation and no production/exports were made during foe last four years of TPd block period of five years, and (ii) Default in payment of statutory fores. that foe facility if approved shall be used strictly for foe authorized operations of the in Rule position: Rule 50 Temporary removals to Domestic Tariff Area is to Domestic Tariff Area es Tar, namefy:- ndparts thereof for repairs and return thereof; b) goods for display, export promotion, exhibition and return thereof; 'test, repair, refining and caliheration and return thereof;

Contentions of Appeal:' "" (i) The unit has been subject and debilitated by a series of negative developments those took place in all spheres of operations, i.e. Market debacle. Financial sickness and finally, natural calamities which have severely impacted the pcrfonnance of the company in foe block period of 2014-19. Such challenges and tremendous obstacles being faced by foe company have not been considered and accorded due weightage. (ii) Due consideration has not been given to evaporation of its market avenues due to foe extensive and destructive damage caused by the Hud-Hud cyclone, which were beyond the imagination and control of foe company. (iii) That foe learned Development Commissioner is competent to renew foe LOA for foe 3rd block of 5 years as per Rule 19(6) of the SEZ Rules, 2006. That while reviewing foe performance oflhe ComjJany as a part of the process of renewal of the LOA, DC may have allowed due consideration of the consequences of the debilitating Impact of foe non anticipateble detrimental events like dumping of Chinese Products, Hud-hud Cyclone etc., which took place during foe period tinder review in Ihe operating theatre of foe Company, while arriving at a decision on the prayer of the company and could have renewed foe LOA for foe period of 2019-2024 and to afford it a chance for revival of foe SEZ Unit (iv) The closure of foe unit which was implemented with a huge investment of about Rs.150 cr. is not a solution especially when foe unit has a wotkable plan of revival submitted to Learned Development Commissioner, The Company in the first year itself of the last five year block (2014-2019) has achieved an export sale of Rs.247.I4 lakhs. Only due to the catastrophic damage to its plant during foe Hud-Hud cyclone, foe respondent could not keep Lrp its export commitments and financial commibnents. (v) The Order has been passed denying the appellant foe renewal of the LOA for the third block period (2019-2024) merely on foe ground of non-payment of statutory dues. The order fails lo appreciate foe genuine difficulties which forced foe Company to dcfeult in payment of its statutory dues and the tact that these defaults were not at all intentional but due to foe helplessness of foe Company and the promoter. (vi) The Company's past track record tor the past decade in meeting these obligations has not been taken into account, 'the Appellant humbly submits foal there is a difference between intentional definite and non-intentional defaults and accordingly renewal of foe LOA may be considered, however, with suitable stipulation as to clearing of these dues within a reasonable time, to safeguard the interest of Ihe revenue and the developer ofthe SEZ levival preposition of foe unit: •To induct a strategic investor as a part of resolution and revival process •The strategic investor has already been identified and immediately upon receipt of Renewal of LoA, the SEZ Plant will be revived and all necessary steps will be taken in this regard. •The funds infirsion by the strategic investor would be lo such a quantum, where the existing and assigned debt obligations of this unit are squared up in total. This investment would also meet the repayment of existing dues to AP11C (IALA Tax & Lease rental dues), Workmen related payments, restoration of power connection, repair and replacement ofthe equipment to bring foe pianl into proper working Order •The long term working capital requirements too, would be met by foe strategic

Rule 19. Utter of Approval to a Unit (6) The Letter of Approval shall be valid for five years from the date ofco production or service activity and it shall be construed as a license for all purposed related to authorized operations, and, after the completion of five years from the date of commencement of production, the Development Commissioner, may, at the request ofthe Unit, extend validity of the Letter of Approval for a further period of five years, at a time. (6A) (I) The Units which intend to renew the validity of Letter of Approval shall submit, before two months from the date of expiry ofthe tetter of Approved, the completed application in Form Fl along with requisite document, to the Development Commissioner, duly signed by the proprietor or managing partner or if it is a company, by ihe Managing Director or the Directo^s) or any person who has or have been duly authorized for this purpose by a resolution ofthe Board of Approval of Directors ofthe Company; Provided that incase and application is not submitted before the said period of two months, such application shall be placed before the Approved Committee and the said Committee, if it is satisfied that there was sufficient cause for not filling the same before the said period, may direct for entertainment of such application. (2)In case of nan compliance of the procedures specified in clause (1), the letter of Approval shall not be considered for renewal. (3)The Development Commissioner may renew the Letter of Approval for a period of Furthermore, while praying for a lenient consideration ofthe unintentional omissions, the Appellant prays for an opportunity of being heard by foe Board of Approval at its earliest convenience. The Appellant craves for foe liberty to place any additional facts and supporting documents at foe time of such a hearing. • Based on the stipulations of foe SEZ, suitable investment instruments would be devised to ensure safety of investment of the strategic investor, apart from giving them an entrepreneurial role to play in foe management of the Company and entire responsibility to meet all the future obligations / liabilities ofthe Company." The Company prays that the Hon'ble Board of Approval may he pleased to set-aside foe impugned order passed by the Ld. Development Commissioner vide dated July 17, 2019 and to order renewal of its LOA for the 3'dblock of 5 years, i.e., 2019-2024 and to accord it an opportunity to revive and to achieve stated goals of net foreign exchange earnings for this period. The Company further undertakes that in foe event of favourable consideration by the Hon^ble Board of its above prayer, it will seek appropriate prior approval from foe Jurisdictional SEZ authority for regularization under Rule 80 of foe SEZ Rules,2006 and in terms of inducting a strategic partner and accordingly prays to foe Hon. Board of Approval that a suitable direction shall be given to foe Jurisdiotional SEZ authority lo renew foe said LOA and provide consent under the relevant regulations in the SEZ Act & Rules thereof. s given to it for submitting additional

(i) The unit was not operational and no production/exports were made during the second block period of five years i.e. from 1.6.2014 to 31.05.2019 and (ii) Default in payment of statutory dues. Contentions in Appeal (i) Unit was not in operation during the second block due to time taken for rehabilitation of unit destroyed in Hudhud Cyclone and delay in approval of request for renewal of LoA. (ii) Operations at the unit also stopped due to non-availability of required approvals for affecting supplies to DTA (iii) Exports could not be made during the 2"" block due to changing global market five years or for a shorter period, in form F2, based on the evaluation of the Unit as per sub-rule (6B). (6Bj The renewal of Letter of Approval shall be based on the evaluation of the following (i) Export performance of the Unit in the last block vis-a-vis Ihe initial export protection submitted by the Unit. (it) Projected employment with reference to actual employment generated. (iii) Instance ofviolation of applicable statutes related to the functioning ofthe Unit. (iv) Cases of default, if any, of statutory payments. (v) Undertaking of ai^i activity not sanctioned or approved by the Deveiopmenl L. ommtsstoner. (vi) The decision ofthe Developer Commissioner or Approval Committee in this regard shall be final and binding on the Unit except in cases where ihe Unit prefers an appeal before the Board of Approval in accordance with rule 55. The appeal is placed before foe Board of Approval. 92.7(iii) Appeal of M/s. Confidence Petroleum the UAC, APSEZ Special Economic Zone vide order for renewal of LoA. Gist of order appealed against The unit was granted LoA on 17.04.2008 for manuf^cture of High Presstii^^CNG Cylinders. The unit obtained foe above mentioned LoA and started commercial production of CNG Cylinders w.e.f. 0l.06.2009(LoA validity period from 01.06.2009 to 31.05.2014). Meanwhile, the validity of LoA also expired and foe unit has requested for extension of the same. Before foe decision on extension could be made, proceedings were initiated against the unit for non-fulfillment of obligation to achieve positive NFE. Vide order dated 16.11.2015, a penalty of Rs. 2,00,000/- was imposed on the Appellant with a direction lo achieve positive NFE in foe next 5 years.

giving rise to competitive international market. (iv) Appellant has obtained confirmed export orders from Bangladesh in June 2019 (v) Renewal ofthe LoA should be permitted in light of the objective ofthe SEZ Act (vi) Renewal of LoA would be in foe line with commitment to strengthen India- Bangladesh relations (vii) Need for boost to the Indian Oil and Gas Industry (vlii) The appellant is striving to satisfy the criteria laid under Rule 19(6B) of foe SEZ Rules (ix) Non-payment of Lease Rent to APIICL due to exorbitant Lease Rent being charged from the Appellant. (x) Non-payment of electricity dues on account of mis-communication between Appellant and APEPDCL Rule position: Rule 19. Letter of Approval to a Unit (6) The Letter of Approval shall be valid for five years from the dale of commencement of production or service activity and it shall be construed as a license for all purposed related to authorized operations, and, after the completion of five vears from the date of commencement of production, the Development Commissioner, may, at the request of the Unit, extend validity of the Letter of Approval for a further period of five years, atatime. (6A) (1) The Units which intend to renew the validity of Letter of Approval shall submit, before two months from the date of expiry ofthe Letter of Approval, the completed application in Form Ft along with requisite document, to the Development Commissioner, duly signed by the proprietor or managing partner or if it is a company, by the Managing Director or the Direclorfs) or any person who has or have been duly authorized for this purpose by a resolution of ihe Board of Approval of Directors of Ihe Company; Provided that in case and application is not submitted before the said period of two months, such application shall be placed before Ihe Approval Commltiee and the said Committee, if it is satisfied that there was sufficient cause for not filling the same before the said period, may direct for enteriainmeru of such (4)In case ofnon compliance of the procedures specified in clause (1), the letter of Approval shall not be considered for renewal. (5)The Development Commissioner may renew the tetter of Approval for a period of five years or for a shorter period in form F2, based on the evaluation of the Unit as per sub-rule (6B). (6B) The renewal of Letter of Approval shall be based on the evaluation of the following (i) Export performance of the Unit in the last block vis-a-vis the initial export projection submitted by the Unit, (ii) Projected employment with reference to actual employment generated (iii) Instance of violation of applicable statutes related to the functioning ofthe Unit. ftv) Cases of default, if any, of statutory payments, (v) Undertaking of any activity not sanctioned or approved by the Development

(vt) The decision of the Developer Commissioner or Approval Committee in this regard shall be final and binding on the Unit except in cases where Ihe Unit prefers an appeal before Ihe Board of Approval in accordance with rule 55. The appeal is placed before foe Board of Approval. 92.8 Proposal for setting up of new SEZ (one proposal) 92.8(1) Request of M/s. Tripurfl Industrial Development Corporation Limited seeking In-princlple approval for setting up a new Sector Specific SEZ for Agro based (broad- banded) at Paschim Jalefa & Dabshin Bijoypnr (Ludhua Tea Garden area), Sabroom, South Tripura District in the Stale of Tripura over an area of 25 Ha.

immendation by DC: DC, Falta, SEZ has recommended the proposal. The proposal is placed before the BoA for consideration. Where the Developer ha^ leasehold right o\