Agenda for Approval Committee meeting for Pune-Cluster to be held on 05-Dec.- 2023. — 05-5eon-kharadi-infrastructure-pvt-ltd-phase-2-sez

SEEPZ SPECIAL ECONOMIC ZONE ANDHERI (EAST), MUMBAI.

AGENDA FOR MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR IT/ITES AT PUNE OF M/S. EON KHARADI INFRASTRUCTURE PVT. LTD.-SEZ, PHASE II.

Via Video Conferencing

DATE : 05.12.2023

TIME : 11:00 A.M.

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MEETING OF THE APPROVAL COMMITTEE FOR SECTOR SPECIFIC SPECIAL ECONOMIC ZONE FOR IT/ITES AT PUNE, UNDER THE CHAIRMANSHIP OF DEVELOPMENT COMMISSIONER, SEEPZ-SEZ ON 05.12.2023

INDEX

Agenda Item No.

Subject

Agenda Item No. 01 :- Confirmation of the Minutes of the meeting held on 19.10.2023 Agenda Item No. 02 :- Monitoring of Performance for M/s. Northern Operating Services Pvt Ltd. Agenda Item No. 03 :- Application for Approval of appointment of service provider in r/o cafeteria. submitted by M/s. Mphasis Ltd.

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File No.S-SEZ-MINSOEON'l /1 /20224OCP Members present Invitee Agenda Item No.Ol: Confirmation of the Minutes of tle 376 meeting held on After deliberation, the Committee conflrmed the minutes of the 37ft meeting of Approval Committee held on 21.09.2023. Agenda Item No.O2: Application for Approval of Lcasing out built up space to vendor for setting up of ATM liacility submitted by M/s. EON Ktraradi Infrastructure F/t. Ltd.-Phase-tr (Developer) In view of the clarilication received from MOC&I dated 04.10.2023 in rlo Provision of facilities to the Units by the Developer in terms Rule 11(5) of the SEZ. After deliberation, the Approval committee approved the proposa-l of the Developer for Leasing out built up space to vendor for setting up of ATM facilit5r, as detailed below: Minutes of the 38ft Meeting of the Approval Committee held under the Chairmanship of Zonal Development Commissioner SEEPZ-SEZ, Mumbai for Sector Specific Special Economic Zane for IT/ITES of M/s. EON Kharadi Infrastructure Rrt. Ltd.-Phase-Il SEZ, Kharadi, Pune, held on 19.10.2023 I Name of the SEZ M/s. EON Kharadi Infrastructure Rrt. Ltd.-SEZ, Phase II 2 Sector rTlrTES 3 Meeting No. 38th 4 Date 19.1O.2023 Sr Name and Designation (s/Shri.) t fenartmen 1 Smt. Mital Hiremath Joint Development Commissioner frne Cluster SEZ, Pune 2 Mr. Sandeep Sathe, DCIT-Circle 4, Pune f,{ominee of Income Tax, Pune I 3 Shri. Krishanadas Nair, mDo fominee of DGFT, Pune 4 Smt. Ma-lathi Nair Superintendent fominee of Customs, Pune Name and Designation pepartment Sr Shri Satbir Sharma Specified Officer P" e Cluster, SEZ, Pune 1 location Nane of tlle Vendor/ Operator M/S. Euronet Service IndiaPodium floor, Outside Cafeteria 21.o9.2023 Area. I 25 Sq.ft

File No.S-SEZ-MINS0EONl/1 /2022'JDCP R/t. Ltd. tional building This approval is subject to the foilowing conditions: 1, The Service Provider will not be eligible for any exemptions, drawback, concessions or any other benefits available under Section 7 or Section 26 of the SEZ Act for creating or operating such facilities' 2. Developer and service provider shall adhere to all the statutory compliances required for setting up/ running of such facility' 3, The facility will be lor exclusive use of the employees of the units and the Developer. Agenda Item No.o3: Monitoring of Performance for M/s. citicorp service (India) Pvt. Ltd. After deliberation, the committee noted the performance of the unit for 3 years Fy 2Olg-2O to 2O2t-22 out of 1st Block period 12O19-2O to 2023-241, in terms tr nule, 54 of SEZ Rule, 2006, as detailed below: The unit has achieved Export of Rs. 752.00Cr. against the projected export of Rs.928.16 Cr. i.e,8l.O2o/o during the monitoring period' .TheunithasachievedpositivecumulativeNFEofRs.TTT.o9Cr.i.e'94.56%" at the end ofFY 2027-22. ' The unit has achieved emplo}'rnent of 2063 (Men-1326,Wolr,er,-737) employees. Meeting ended with a vote of thanks to the Chair' U-.r,-,
.\D (Rajesh Mishra, IRS) Chairman-cum- DeveloPment Corn:nissioner

GOVT. OF INDIA, OFFICE OF THE ZONAL DEVELOPMENT COMMISSIONER, SEEPZ – SEZ (PUNE CLUSTER)

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AGENDA NOTE FOR CONSIDERATION OF THE APPROVAL COMMITTEE

a. Proposal: Monitoring of the performance of M/s. Nothern Operating Services Pvt.Ltd., an IT/ITES unit located at 13th to 16th Floor, Tower A, EON Free Zone-II, EON Kharadi Infrastructure Pvt. Ltd.-SEZ, Phase-II, Sr. No.72/2/1, Kharadi, Pune-411014. for first 1st block period i.e. for FY 2018-19 to FY 2022-23

b. Specific Issue on which decision of Approval Committee is required: Monitoring of the performance of the unit for 1st Block period i.e. FY FY 2018-19 to FY 2022-23 in terms of Rule 54 of SEZ Rules, 2006

c. Relevant provisions: -

As per Rule 54 of SEZ Rules, 2006

“Performance of the Unit shall be monitored by the Approval Committee as per the guidelines given in Annexure appended to these rules”.

I. Performance as compared to projections: i. Approved Projections (Rs. in Crores)

2018-19 2019-20 2020-21 2021-22 2022-23 Total FOB Value of Exports 100.27 281.51 372.72 455.28 544.88 1754.68 FE Outgo 97.95 13.78 55.51 23.76 31.09 222.10 NFE 2.32 267.73 317.21 431.53 513.80 1532.58

(ii) Performance as compared to projections:
(Rs. in Crores) Year Export F.E. OUTGO

Projected

Actual Raw Material (Goods/Services) C.G. import Other outflow Projected Actual Projected Actual Actual 2018-19 100.27 101.47 0 0 176.80 55.50 0.00 2019-20 281.51 295.92 0 0 21.73 0.69 2020-21 372.72 320.30 0 0 9.28 0.02 2021-22 455.28 302.80 0 0 0 2.88 0.13 2022-23 544.88 390.95

7.41 1.65 Total 1754.68 1411.44 0.00 0.00 176.80 96.80 2.48

File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 49

[[[ (II) Cumulative NFE achieved: (Rs. in Crores)

Year Cumulative NFEA Achieved Cumulative % NFE Achieved 2018-19 95.91 94.53% 2019-20 383.42 96.49% 2020-21 695.05 96.85% 2021-22 988.79 96.89% 2022-23 1368.41 96.95%

(III) Employment Achievement (Direct): FY 2022-23

The Unit has achieved employment of 2229 employees (Men-1286, Women-943) as on 31.03.2023.

d. Relevant provisions: Rule 54 of SEZ Rules, 2006 “Performance of the Unit shall be monitored by the Approval Committee as per the guidelines given in Annexure appended to these rules”

e. Other Information:

LOA NO & Date SEEPZ- SEZ/NEWSEZ/NOSPL/277/2017- 18/25582 Dated 21.12.2017 Location of Unit 13th to 16th Floor, Tower A, EON Free Zone-II, EON Kharadi Infrastructure Pvt. Ltd.-SEZ, Phase-II, Sr. No.72/2/1, Kharadi, Pune-411014 Validity of LOA 02.12.2023 Item(s) of manufacture/ Services IT & ITES Date of commencement of production 03.12.2018 Execution of BLUT Rs. 95.45 Crores Outstanding Rent dues NA File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 50

Labour Dues NA Validity of Lease Agreement 10 years Pending CRA Objection, if any NA Pending Show Cause Notice/ Eviction Order/Recovery Notice/ Recovery Order issued, if any NA Projected employment for the block period No. of employees as on 31.03.2023 2800 (Men 1543, Women -1257)

2229 (Men-1286, Women-943) Area allotted (in sq.ft.) 2,13,000 Sq.ft Area available for each employee per sq.ft. basis (area / no. of employees) 95.55 Sq. ft. Investment till date

Building NIL
Plant & Machinery 88.66 Crores Quantity and value of goods exported under Rule 34 (unutilized goods) NA Value Addition during the monitoring period NA Whether all the APRs being considered now has been filed well within the time limit, or otherwise.

If no, details of the Year along with no of days delayed to be given. Yes

The Specified Officers vide letter dated 01.12.2023 has submitted APR verification report for the period FY 2018-19 to FY 2022-23, in the prescribed which is as detailed below;

(A) EXPORT (Rs. In Crores)
Year/Pe riod Figures reported

in APR Figures as per Softex/Customs Records Difference if any Reason

for Difference/Remark (1) (2) (3) (4) (5) 2018- 2019 101.47 101.20 0.26 Difference is due to accounts Exchange Rate variation. 2019- 2020 295.92 293.39 2.53 2020- 2021 320.30 316.44 3.86 2021- 302.80 301.06 1.74 File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 51

2022 2022- 2023 390.95 386.92 4.03

IMPORT (Capital Goods including procurement done on IUT (from SEZ, EOU, STPI, EHTP) basis.) (Rs. In Crores) Year/P eriod Figures reported in APR

(FOB Value) Figures as per Customs Records Difference if any Reason for Difference/Remark (1) (2) (3) (4) (5) 2018- 2019 55.50 55.50 Nil Nil 2019- 2020 77.23 22.42 54.81 During the Current Year Import Was Rs. 22.42 Crores. Difference Due to Cumulative value reported. 2020- 2021 86.52 9.28 77.24 During the Current Year Import Was Rs. 9.28 Crores. Difference Due to Cumulative value reported. 2021- 2022 89.39 3.12

86.27 During the Current Year Import Was Rs. 3.12 Crores. Difference Due to Cumulative value reported. 2022- 2023

97.59 8.21 89.38 Capital goods wrongly by the unit was exported back to the original supplier of Rs.0.80 crores. Balance difference due to cumulative value reported.

Raw Material (Rs. In Crores)

Year/Per iod Figures reported in APR (FOB Value) Figures as per Customs Records Difference if any Reason

for Difference/Remark (1) (2) (3) (4) (5) 2018- 2019 0.00 0.00 0.00

2019- 2020 0.00 0.00 0.00

2020- 2021 0.00 0.00 0.00

2021- 2022 0.00 0.00 0.00

2022- 2023 0.00 0.00 0.00

(‘C) BLUT (Amount in ‘Crores’) 1

Value of BLUT Executed (Duty foregone)

F.No.

SEEPZ- File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 52

(including for CG/ Raw Material/ Services)

Value of Additional BLUT executed Year: Date of acceptance BLUT amount:

TOTAL value of BLUT Executed SEZ/NEWSEZ/NOSPL/277/17- 18/05447 dated 05.03.2018 Rs. 66.58 Crores

F.No.

SEEPZ- SEZ/NEWSEZ/NOSPL/277/17- 18/VOL-II/1024

dated 04.02.2019 Rs. 7.03 Crores

F.No.

SEEPZ- SEZ/NEWSEZ/NOSPL/277/17- 18/VOL-II/581

dated 21.09.2022 Rs. 21.84 Crores

Total: Rs. 95.45 Crores

2 Total Duty Foregone on goods & services procured Category Wise:

Year Wise:

FY Goods (Imported & Ind.) Services 18-19 21.36 6.55 19-20 7.50 14.11 20-21 3.06 9.19 21-22 1.92 8.10 22-23 2.08 12.15 Total 35.91 50.10

3 Has the Unit procured goods and or services without having sufficient balance in their BLUT,

If Yes,

Month & year when the BLUT was exhausted

Details of the consignments and Total value of Goods procured without having sufficient or nil balance in BLUT

No (d) Employment made as on date (31.03.2023) (as on end of block period/ year up to which monitoring is being done) Men:1286 Women: 943 Total No Employment : 2229 (e) Details of Pending Foreign Remittance beyond Permissible period, if any No File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 53

(as on 31.03.2023)

To cross-check the same and verify whether necessary permission from AD Bank/ RBI has been obtained. (f) Whether all Softex has been filed for the said period. If no, details thereof.

SO to also check whether unit has obtained Softex condonation from DC office / RBI and if approved, whether they have filed such pending Softex.

Yes (g) Whether all Softex has been certified, if so till which month has the same been certified. If not, provide details of the Softex and reasons for pendency. Yes (h) Whether unit has filed any request for Cancellation of softex No (i) Whether

any

Services

provided

in DTA/SEZ/EOU/STPI etc. against payment in INR in r/o IT/ITES Unit during the period.

If yes, details thereof (year wise details to be provided)

No

(j) SO to verify and certify whether the unit has updated the BLUT ledger Module in SEZ Online.

NA (k) Has the unit cleared any Capital Goods procured duty free in DTA against Payment of Duty, or otherwise. Full details to be provided along with value of assets and duty discharged

No (l) Is the unit sharing any of their infrastructure with other units or are utilizing infrastructure of another unit in the same or other SEZ. If so, details thereof, including the details of the unit with whom the sharing is being made, and the payment terms If approval for sharing of common infrastructure has been obtained from UAC/DC office, the date of UAC/ Approval letter to be indicated

No (m ) Whether all DSPF for services procured during the

said

monitoring

period

under consideration has been filed by the unit and whether the same has been processed for Under Process File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 54

approval by the SO Office.

(n) Whether unit has filed all DTA procurement w.r.t. the goods procured by them during the monitoring period for the relevant period:

If no, details thereof

Yes (o) Details of the request IDs pending for OOC in respect of DTA procurement on the date of submission of monitoring report

No (p) Has the unit set up any cafeteria/ canteen/ food court in unit premises. If yes, whether permission from UAC/DC office has been issued, or otherwise. Whether unit has availed any duty paid goods/services for setting up such facility?

If yes, whether unit has discharged such duty/ tax benefit availed? details to be given including amount of duty/ tax recovered or yet to be recovered

Only precooked food is being served in the cafeteria. The unit has not regularized the cafeteria in terms of Instruction 95 but will be applying for the same is due course.
(q) Whether any violation of any of the provisions of law has been noticed/ observed by the Specified Officer during the period under monitoring.

No

ADC’s observations:

• Clarification for less export: The Unit vide email dated 12.04.2023 has submitted clarification on shortfall of exports revenue - Actual Vs Projections is that initial projections for their SEZ unit included cost for IT & ITES vertical. Whereas, in 2019-20 IT business vertical was moved to their another SEZ unit i.e Northern Operating Solutions Pvt Ltd. The shortfall in revenue of this SEZ unit is achieved in Northern Operating Solutions Pvt Ltd.

• The Unit has achieved export revenue of Rs. 1411.44 Crores as against projected export of Rs. 1754.68 Crores which is 80.43% and achieved cumulative positive NFE of Rs. 1,368.41 Crores which is 96.95% the 1st block period i.e. during FY 2018-19 to FY 2022-23. • The Unit has achieved employment of 2229 employees (Men-1286, Women- 943) as on 31.03.2023. • Approval Committee may monitor the performance of the Unit for the 1st Block i.e. FY 2018-19 to FY 2022-23 in terms of Rule 54 of SEZ Rules, 2006. File No.S-SEZ-MONT0EON2/10/2022-JDCP I/3304/2023 55

GOVT. OF INDIA, OFFICE OF THE ZONAL DEVELOPMENT COMMISSIONER, SEEPZ – SEZ (PUNE CLUSTER)

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AGENDA NOTE FOR CONSIDERATION OF APPROVAL COMMITTEE

a. Proposal: - Proposal submitted by M/s. Mphasis Limited an IT/ITES unit located in M/s. EON Kharadi Infrastructure Pvt. Ltd.-Phase-II-SEZ, for appointment of service provider in r/o cafeteria.

b. Specific Issue on which decision of Approval Committee is required: Approval of the Committee for appointment of service provider in the cafeteria, as detailed below:

Sr. No. Facility Vendor Name Location Area in Sq.ft. 1 Cafeteria Services • Snacks • MRP product • Mini Meals • Tea & Coffee • Fruits & Juices Amit Enterprises Phase-II, Tower B, 12th Floor, SEZ, Survey No-72.2/1, Kharadi, Pune- 411014. 75 sq.ft.

c. Relevant provisions: - As per para 3 of Instruction No.95 dated 11.06.2019 ‘3. The issue was examined in this department and with the approval of competent authority, it is conveyed that the same could be allowed subject to the following conditions. The facilities as envisaged under the proviso to Rule 11(5) of the SEZ Rules could also be created by a Unit for its exclusive use subject to obtaining a NOC from the Developer as well as necessary NOCs/ clearances/approvals from the relevant statutory authorities. The units shall not be eligible for any exemptions, drawback, concessions or any other benefits available under Section 7 or Section 26 of SEZ Act, for creating of operating such facilities.

d. Other Information: - • M/s. Mphasis Limited has been granted LOA No. SEEPZ-SEZ/EKIPL- SEZ/ML/47/2019-20 Dated 13.01.2020 • Location of the Unit: 12th Floor, Tower C, EON Kharadi, Infrastructure Pvt. Ltd.-Phase-II-SEZ, Survey No. 72, Kharadi, Pune-411014. • Date of commencement of authorized operation: 01.09.2020 • LOA valid up to: 31.08.2025 • The unit vide their letter dated 27.05.2021 had requested for approval of File No.S-SEZ-PRO0EON2/1/2022-JDCP

setting up of cafeteria and appointment of service provider. The same was approved by the approval committee in its meeting held on 27.07.2021.
Accordingly, the unit was issued approval letter dated 04.08.2021. • The unit has submitted that:

1. The service provider will not avail any GST/Customs duty benefits on the said returnable Items/ equipment.
2. The returnable items/equipment shall remain in the M/s. Mphasis Ltd unit until agreement is valid. On expiry/ termination of the agreement the said returnable items/ equipment shall be returned to the service provider.
3. The unit shall provide space as mentioned above.
4. The vendor will bring the pre-cooked food on cash and carry module. • In support of the above unit has submitted the following documents: • New café vendor-GST copy • Copy of food corporation certificate • Copy of cafeteria floor plan • Copy of Fire NOC of the building • Copy of Letter of intent from Developer • Copy of Shop Act Certificate from Vendor • Copy of NOC from Developer

d. ADC’s Recommendations:
• Approval Committee may consider the proposal for appointment of service provider in the cafeteria., in terms of para 3 of Instruction No.95 dated 11.06.2019 issued by MOC&I.

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File No.S-SEZ-PRO0EON2/1/2022-JDCP