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Minutes of the 195th meeting of Approval Committee

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

Following were present:

1. Shri. Marut Tripathi : Joint Development Commissioner,
KASEZ.
2. Shri. Gajendra Singh =: Assistant Commissioner ofCustoms,
Chholak Rep. ofCommissioner ofCustoms, Kandla.
3. Shri. Mehul Desai : Sub-Divisional Magistrate, Anjar
Rep. of District Collector, Kutch
4. Shri. Vincent Colaco : Assistant Commissioner ofIncome Tax,
Gandhidham.
5. Shri. Bharat Nakum : Manager R. M., DIC, Bhuj
6. Shri. Gajendra Singh — : Specified Officer, KASEZ
Khimara (Special Invitee)
Absentees:-

  1. Director (Banking)

  2. DGFT representative

195.I Review/Confirmation of the minutes of last meeting (194th UAC) of the Approval Committee:-

Minutes of the last meeting of Approval Committee were confirmed.

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

AGENDA ITEM NO. 195.1.1

Application for setting up of a Trading unit in KASEZ namely M/s. Mars Remedies, Front Side, Gr. Floor, Plot No. A, CS No. 3763 TP No. 3. FP No. 89A, Katargam, Surat-395004.

A proposal has been submitted by M/s. Mars Remedies, Katargam, Surat for setting up a unit in Kandla SEZ for Trading activity.

Shri Ashish Shah, Partner of the firm explained their proposal. Shri Shah stated that they are already having Duty Free Shop at Oil Jetty, Kandla and to further expand their business they propose to set up a trading unit in Kandla SEZ. He, further, stated that they have requested for built-up area of 300 sq. mtrs. and they will import traded goods and reexport the same.

The Committee asked the Partner of the firm as to why they want to set up liquor unit in KASEZ as already they are having Duty Free Shop in Kandla. In reply, Shri Shah stated that they are having Duty Free Shop with 2 container space of about 50 sq. mtrs. and there is no space in Kandla and hence they have applied in Kandla SEZ with space requirement of 300 sq. mtrs. built up area for import and re-export. The Committee noted that there are already about 10-12 units in KASEZ dealing in liquor products and as of now there is no space in KASEZ and the commodities proposed are also sensitive in nature and duty-evasion prone items. Further, Gujarat is a prohibition State and there will be possibility of diversion and out of 13 LoAs granted for liquor only 5-6 units are running full-fledged.

nature and duty-evasion prone items. Further, Gujarat is a prohibition State and there will be possibility of diversion and out of 13 LoAs granted for liquor only 5-6 units are running full-fledged. Further, granting of LoAs for a sensitive commodity in a Liquor Prohibited State of Gujarat will serve no purpose apparently.

Therefore, the Approval Committee, after due deliberation, decided to defer the proposal as there is no space available in KASEZ at present.

AGENDA ITEM NO. 195.1.2 Application for setting up of a Manufacturing, Trading and Warehousing unit in KASEZ namely M/s. Rishi Kiran Logistics Pvt. Ltd., “Kiran” House, Plot No. 8, Sector - 8, Opp. Post Office, Gandhidham - Kutch - 370 201.

A proposal has been submitted by M/s. Rishi Kiran Logistics Pvt. Ltd., Gandhidham for setting up a unit in Kandla SEZ for Manufacturing, Trading and Warehousing Service activity.

Shri Dinesh Gupta, Director of the company explained their proposal. Shri Gupta stated that they are into the business of liquid cargo tankers

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Minutes of the 195% Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195% Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

having capacity of 1.5 lakh tons in Kandla, Bonded warehouse at Kandla & Mundra and into LPG transportation business. He further stated that now they propose to set up a manufacturing unit in KASEZ for thinner & the raw materials will be imported, after processing in mixers the same will be reexported and also trading and warehousing activity of chemical products.

The Committee asked the Director as to why they want to set up unit in KASEZ and why not set up the unit outside. In reply, Shri Gupta stated that outside duty payment issue is there and hence they want to set up unit in KASEZ. The Committee noted that the applicant has requested for manufacturing, trading and warehousing activity in KASEZ and directed the applicant that warehousing activity will not be allowed and manufacturing and trading activity proposal will be considered subject to availability of space as the applicant has requested for 10,000 sq. mtrs. space which is currently not available in KASEZ and also 100-acre plot of land is under development by KASEZ Authority which will take 6-8 months’ time for completion and available for acquisition by the new units.

Therefore, the Approval Committee after due deliberation decided to defer the proposal of manufacturing and trading activity and requested the applicant to apply after the land availability is there as no big size land is available.

195.2 REQUEST FOR BROADBANDING/ITEM ADDITION

Request for broad banding of items under Trading activity - Request of M/s Hindustan Oils Industries, KASEZ.

M/s. Hindustan Oils Industries, KASEZ is an approved unit with LoA dated 08.08.2013 issued from F. No. KASEZ/IA/006/2013-14 for manufacturing activity of light solvents, fuel oil, light fuel oil, light viscosity base oil, high viscosity base oil, rubber process oil/residue only for crude oil processing, vaccum distillation for reclamation of used oil, lightol and lubricants automotive and industrial and for trading activity of lubricants, fuel oil, bitumen, transformer oil, other petroleum products, castor oil and base mineral oil SN-500, 350, 150 etc, as amended. Now the said unit has requested for addition of items under Trading activity.

Shri Narendra Nimbawat, Partner of the firm explained their proposal. Shri Nimbawat informed that they are in KASEZ since last 12 years for manufacturing and trading activity of lubricants, oils, etc. and now they

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

want to add automobile parts in their trading activity as Automobile hub is in Rajkot from where they can procure items for trading activity.

The Committee noted that earlier in the 190% UAC meeting held on 28.04.2023 it was decided that any addition in their existing LoA cannot be considered till the SCN issued to the unit is decided.

Therefore, the Approval Committee after due deliberation decided to defer their proposal till the show cause notice issued to the unit is decided after receipt of a clarification from Department of Commerce.

AGENDA ITEM NO. 195.2.2 Addition of Items under Trading Activity - Request of M/s KKP Petchem Pvt. Ltd., KASEZ.

M/s. KKP Petchem Pvt. Ltd., KASEZ is an approved unit with LoA issued from F. No. KASEZ/IA/28/2009-10 dated 25.01.2010 for manufacturing and trading activity, as amended.

Now the said unit has requested for addition of items in their Trading activity in their existing LoA.

Shri Anand Mehta, Authorised Representative of the company explained their proposal. Shri Mehta informed that they are in KASEZ since last 10 years for manufacturing & trading activity and now they wish to include two items in their trading activity.

mpany explained their proposal. Shri Mehta informed that they are in KASEZ since last 10 years for manufacturing & trading activity and now they wish to include two items in their trading activity.

The Approval Committee after due deliberation decided to approve the proposal for addition of 02 items in trading activity in their existing LoA and also subject to the following standard terms and conditions:

  • i) None of the items which are restricted or prohibited will be allowed to be traded and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before.

  • ii) In case of any discrepancy/mismatch between the above ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail.

  • ii) Further, no DTA sale is allowed for both the approved traded items.

  • iv) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable.

  • v) The above permission is also subject to further condition that the unit shall maintain separate accounts for manufacturing and trading and earmark separate space for both the activities.

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

vi) Further,<br>the<br>unit<br>will<br>submit<br>separate<br>APRs<br>for<br>their
manufacturing and trading activity.
vii) Further, the unit will obtain registration/clearance/any other<br>mandatory requirement prescribed under any Act/Rules from
viii) concernedagencies beforeundertakingofsuch activities.<br>Further, the unit will ensure the compliance of all guidelines,<br>policies issued by any Ministry from time to time pertaining to<br>the items approved in LoA.
ix) Further, the unit will give an undertaking that none ofthe items
proposed are falling under negative list and are not hazardous
or require environmental clearance for storage/ transmission/<br>handlingand iftheitems arefound in negative list orhazardous<br>in nature,penalactionwillbeinitiatedagainstthem.

AGENDA ITEM NO. 195.2.3 Addition of items in Trading and Warehousing Activity in their existing LoA - Request of M/s. Milak Warehouse, KASEZ. M/s Milak Warehouse, KASEZ is an approved unit with LoA No. 1836/2001-02 dated 10.08.2001, as amended for Trading, Manufacturing and Warehousing service activity etc, subject to certain terms and conditions enumerated in the aforesaid Letter of Approval.

Now the said unit has requested for addition of items in trading & warehousing activity in their existing LoA.

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to certain terms and conditions enumerated in the aforesaid Letter of Approval.

Now the said unit has requested for addition of items in trading & warehousing activity in their existing LoA.

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Shri Vivek Milak, Partner of the firm explained their proposal. Shri Milak informed that they want to add some items in their trading and warehousing service activity. The Committee asked the Partner of the firm about the toothbrush items mentioned at Sr. No. 1 to 4 of their proposal and as to whether CITES permission is required. In reply, Shri Milak stated that the toothbrushes proposed for trading & warehousing will be wood & plastic based and no animal based brushes which requires CITES clearance and they will procure the same from local market and then will be exported. The Committee asked the unit to submit an Undertaking to this effect.

The Approval Committee after due deliberation decided to approve the proposal for addition of items in trading activity and warehousing service activity except items at Sr. No. 8 to 25 of their proposal (subject to unit submitting KYC of their clients alongwith ITR of last 3 years on whose behalf they will warehouse goods) in their existing LoA and also subject to the following standard terms and conditions:

i) None of the items which are restricted or prohibited will be 5 | allowed to be traded/ane and any restrictions on

Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

  • import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before.

  • li) Further, the unit will submit health compliances with regard to cosmetics proposed for trading ®& warehousing before undertaking of such activities.

  • ili) In case of any discrepancy/mismatch between the above ‘Description of Goods’ as provided by the Unit & ‘Description of

  • iv) goods as per DGFT Import Policy’, the later will prevail. Further, no DTA sale is allowed for the approved traded items.

  • v) Further, the items will be subjected to the Policy Conditions Vi) Thespecifiedabovein DGFT’permis s ion ITC HSis als C o desubject whereverto further applicable.condition that the unit shall maintain separate accounts for manufacturing, trading and warehousing service activity and earmark separate space for both the activities.

  • vii) Further, the unit will submit separate APRs for their viii) manufacturing, trading and warehousing service. Further, the unit will maintain separate stock register for manufacturing, trading and warehousing service which will be

  • ix) Further,subject tothe regularunit checkingwill obtain by theregistration/clearance/ KASEZ customs authorities. any other mandatory requirement prescribed under any Act/Rules from

ch will be

  • ix) Further,subject tothe regularunit checkingwill obtain by theregistration/clearance/ KASEZ customs authorities. any other mandatory requirement prescribed under any Act/Rules from

  • Xx) Further,concernedthe agenciesunit willbeforeensure undertakingthe compliance of such ofactivities.all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA.

  • xi) Further, the unit will give an undertaking that none of the items proposed above are falling under negative list and are not hazardous or require environmental clearance for storage / transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them.

AGENDA ITEM NO. 195.2.4 Request for addition of warehousing service activity in their existing Letter of Approval No. KASEZ/IA/010/2015-16 dated 08.09.2015 for Manufacturing and Trading Activity, as amended issued to M/s Shrine Chemicals Pvt. Ltd., KASEZ

M/s Shrine Chemicals Pvt. Ltd., Plot No. 504, New Area, Phase -— II, Kandla Special Economic Zone, is an approved unit for Manufacturing (Blending) Activity of Chemicals and Trading Activity of 45 items vide LoA No. F. No. KASEZ/IA/010/2015-16 dated 08.09.2015 as amended from time to time.

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

Now the said unit has requested for addition of warehousing service activity in their existing LoA and submitted the list of items for warehousing service activities.

The unit vide their letter dated 19.10.2023 informed the DC office that due to unavoidable circumstances the Director is unable to attend the UAC and requested to take up the matter in next UAC. Therefore, the Approval Committee after due deliberation decided to defer the proposal.

Intimation of change in Partnership deed of M/s Kutch Polymers, KASEZ.

All M/s Kutch Polymers, KASEZ is an approved unit for manufacturing of types of reprocessed plastic raw material in granules, Agglomerates, shredding, grinding pieces, crushing chips form, lumps and chunks, etc. in Kandla Special Economic Zone vide Letter of Approval No. FTZ/IA/ 1689/97 /10487 dated 27.01.1998, as amended. firm Now the said unit has intimated regarding change in partners of the wherein one new Partner has joined the firm and submitted copy of partnership deed for Admission of New Partner dated 30.05.2023. Further, the unit vide letter dated 19.07.2023 has also submitted copy of Form-G issued from Registrar of Firms, Gandhidham regarding change in partnership deed.

The said unit has intimated regarding change in partners of the firm wherein one Partner has retired from the firm and one new Partner has joined the firm and submitted copy of partnership deed (Retirement cum Admission Deed) dated 22.03.2023 and has also submitted copy of Form-G issued from Registrar of Firms, Kachchh District, Gandhidham regarding change in partnership deed.

ership deed (Retirement cum Admission Deed) dated 22.03.2023 and has also submitted copy of Form-G issued from Registrar of Firms, Kachchh District, Gandhidham regarding change in partnership deed.

Further, the unit has also submitted Indemnity bond, KYC of new Partner viz. Aadhar Card & PAN Card, Income Tax Returns and Net Worth Certificate of the new Partner. Shri Ankesh Gupta, existing Partner of the firm appeared before the Committee to explain the proposal. the The Committee asked the existing Partner why they want to change partnership of the firm. In reply, Shri Gupta stated to expand their business and to induct more investment in business they have introduced one new partner in the firm.

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

a The Committee further asked the Partners about any case booked against the unit by different agencies. Shri Gupta stated that no case is booked against their unit by any agencies like Customs, DRI, etc.

ommittee further asked the Partners about any case booked against the unit by different agencies. Shri Gupta stated that no case is booked against their unit by any agencies like Customs, DRI, etc.

The Committee noted that Department of Commerce vide Instruction No. 109 dated 18.10.2021 has issued guidelines regarding change of name, change of shareholding pattern, business transfer arrangements, court approved mergers and demergers, change of constitution, wherein the change of Directors, etc. may be undertaken by the Unit Approval Committee (UAC). Therefore, the Approval Committee after due deliberation decided to take on record the proposal of change in partnership of the firm subject to submission of an Affivadit/Undertaking that no Customs /DRI and any other Govt. Department case is booked against the unit and fulfilment of conditions as stipulated vide Instruction No. 109 dated 18.10.2021. The Committee also directed to forward the case of change in Constitution/partnership to the Income Tax Department for necessary action at their end.

AGENDA ITEM NO. 195.3.2 Intimation for change in the name of the unit and change in constitution from Private Limited Company to Partnership firm - Request of M/s Sanghvi Polyfil Pvt. Ltd., KASEZ

AGENDA ITEM NO. 195.3.2 Intimation for change in the name of the unit and change in constitution from Private Limited Company to Partnership firm - Request of M/s Sanghvi Polyfil Pvt. Ltd., KASEZ

M/s. Sanghvi Polyfil Pvt. Ltd., KASEZ is an approved unit for manufacturing activity of PE Ropes (Plastic Rope) and trading activity of Plastic Granules & Plastic Powder and PE Ropes (PP/ HDPE) vide Letter of Approval F.No. KASEZ/IA/ 022/2005-06/5500 dated 28.10.2005, as amended. Further, warehousing service activity of 06 items was approved in their existing LoA vide letter dated 15.12.2022. from Now the said unit have requested for change of name of their unit M/s Sanghvi Polyfil Pvt. Ltd. to M/s Yash Polyplast. They have submitted copy of Partnership deed of M/s. Yash Polyplast, copy of Aadhar Card of all three Partners, Income Tax retuns of M/s. Yash Polyplast for last 3 years & Income Tax returns of its partners for last 3 years, Indemnity Bond and Business Transfer Agreement alongwith their application. Shri Vipul Sanghvi, Director of the company appeared before the Committee to explain the proposal. Shri Sanghvi stated that to further expand and operate the SEZ manufacturing in more professional manner, the name and constitution of the firm has been changed to keep the SEZ operations separate altogether and undertake marketing activity specific to 8

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

nutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

The Committee noted that the main Director Shri Vipul Sanghvi is partner in M/s. Yash Polyplast and other partners are family members of Sanghvi group. The Committee further noted that Department of Commerce vide Instruction No. 109 dated 18.10.2021 has issued guidelines regarding change of name, change of shareholding pattern, business transfer arrangements, court approved mergers and demergers, change of constitution, wherein the change of Directors, etc. may be undertaken by the Unit Approval Committee (UAC). Therefore, the Approval Committee after due deliberation decided to approve and take on record the proposal of change in the name of the unit from “Sanghvi Polyfil Pvt. Ltd.” to “Yash Polyplast” and change in constitution from private limited company to partnership firm subject to submission of an Affidavit/Undertaking that no Customs/DRI and any other Govt. Department case is booked against the unit and fulfilment of conditions as stipulated vide Instruction No. 109 dated 18.10.2021.

The Committee also directed to forward the case of change in Name/Constitution to the Income Tax Department for necessary action at their end.

Intimation of change in Partnership deed of M/s. Ubix Inc, KASEZ.

M/s Ubix Inc, KASEZ is an approved unit, for Repairing & Reconditioning of empty Printer Cartridge and used/damaged mobile phones in Kandla Special Economic Zone, Gandhidham, vide LoA No. KASEZ/IA/31/2009-10/ dated 10.03.2010, as amended from time to time. Further, warehousing service activity was also included in their existing LoA vide letter No. KASEZ/IA/31/2009-10 dated 22.07.2021. Now the said unit has intimated regarding change in partners of the firm wherein one Partner has retired from the firm and two new Partners have joined the firm and submitted copy of partnership deed (Retirement cum Admission Deed) dated 12.10.2023. Further, the unit has submitted KYC of new Partners viz. Aadhar Card & PAN Card, Police Verification NOC and Income Tax Returns of the new Partners. The said unit has intimated regarding change in partners of the firm wherein one Partner has retired from the firm and one new Partner has joined the firm and submitted copy of partnership deed (Retirement cum Admission Deed) dated 22.03.2023 and has also submitted copy of Form-G issued from Registrar of Firms, Kachebh District, Gandhidham regarding 9 change in partnership deed. . q

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

nutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

The Committee noted that the unit has already applied for registration of partnership deed with the Registrar of Firms - Government of Gujarat and has also submitted copy of acknowledgement of copy of application and the same is under process.

Shri Peyush Miglani, existing Partner and Shri Seenivasan N, Partner being inducted in the firm appeared before the Committee to explain the proposal. Shri Miglani stated that they are in KASEZ since 2010 for reconditioning of empty printer cartridge & they export the same to GCC & African countries and also warehousing activity.

The Committee further asked the Partners about any case booked against the unit by different agencies. Shri Miglani stated that no case is booked against their unit by any agencies like Customs, DRI, etc. The Committee noted that Department of Commerce vide Instruction No. 109 dated 18.10.2021 has issued guidelines regarding change of name, change of shareholding pattern, business transfer arrangements, court approved mergers and demergers, change of constitution, wherein the change of Directors, etc. may be undertaken by the Unit Approval Committee (UAC).

pattern, business transfer arrangements, court approved mergers and demergers, change of constitution, wherein the change of Directors, etc. may be undertaken by the Unit Approval Committee (UAC).

Therefore, the Approval Committee after due deliberation decided to take on record the proposal of change in partnership of the firm subject to submission of Indemnity bond, Net worth certificate of new partners, FormG issued from Registrar of Firms & subject to submission of an Affivadit/Undertaking that no Customs/DRI and any other Govt. Department case is booked against the unit and fulfilment of conditions as stipulated vide Instruction No. 109 dated 18.10.2021. The Committee also directed to forward the case of change in Constitution/partnership to the Income Tax Department for necessary action at their end. AGENDA ITEM NO. 195.3.4 Request for addition of items in Warehousing Activity in their existing LoA No. 16/2015-16 dated 02.02.2016 issued to M/s. Central Warehousing & Trading, KASEZ.

M/s Central Warehousing & Trading, KASEZ is an approved unit with LoA No. 16/2015-16 dated 02.02.2016, for warehousing service activity subject to certain terms and conditions enumerated in the aforesaid Letter of Approval.

Now the said unit has requested for addition of items in warehousing service activity in their existing LoA. /; 10 mn

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

The unit vide their letter dated 17.10.2023 informed the DC office that their client orders are not yet confirmed/will be postponed and hence requested for withdrawal of their request. Therefore, the Approval Committee after due deliberation decided to accede to the request of the unit for withdrawal of their proposal.

AGENDA ITEM NO. 195.3.5 Permission to warehouse goods on behalf of DTA Importer/Foreign Clients - Request of M/s. International Warehousing & Trading, a unit of Trading/Warehousing activity KASEZ.

The Committee noted that M/s. International Warehousing & Trading, KASEZ has requested for permission to warehouse additional items on behalf of Foreign/DTA clients.

Shri Kiran Singh Kochhar, Partner of the firm explained their proposal. He informed that they want to warehouse salts on behalf of their well know client namely ‘The Emirates’. He further stated that salts will be procured from the Indian market and will be exported on behalf of their clients. — One of the Committee member Shri Mehul Desai, SDM enquired if the same item is being procured from the Indian market and Kutch is well known hub in respect of salt manufacturing then why you want to use the KASEZ channel to export this item as the same item can also be exported from outside. There is no need to warehouse the items in the zone.

n respect of salt manufacturing then why you want to use the KASEZ channel to export this item as the same item can also be exported from outside. There is no need to warehouse the items in the zone. In this regard, partner of the firm replied that as they are already having a warehouse in the zone therefore, they want to carry out this business from the zone.

The Committee noted that salt being sensitive item is not being permitted by the UAC since June’2021 and is also quite challenging for the Customs officers to carry out the 100 percent examination of the subject goods with quite precision keeping in mind the sensitivity of the goods. Further, UAC directed the unit to submit a complete proposal submitting financial tie up, market intelligence, brief write, copy of contract entered between their clients so as to decide on their proposal.

Therefore, the Approval Committee after due deliberation decided to defer their proposal with direction to the unit to submit the complete project proposal for the items proposed.

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Minutes of the 195% Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195% Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

AGENDA ITEM NO. 195.3.6 Permission for warehousing activity of additional items and addition of List of Raw materials for Manufacturing Activity - Request of M/s. Skylink Petrochemicals Pvt. Ltd., KASEZ.

The Committee noted that M/s. Skylink Petrochemicals Pvt. Ltd., KASEZ has requested for permission for warehousing activity of additional items and additional of list of raw materials for manufacturing activity. Shri Anand Mehta, Authorised Representative and Shri Chauhan, Plant Head of the company explained their proposal. Shri Mehta informed that they have requested for permission for warehousing activity of additional items and additional raw materials in manufacturing activity.

The Committee asked the representative of the company about the timeline for starting of their manufacturing activity. In reply, Shri Mehta stated that their manufacturing activity will be started by about 6-8 months time.

The Committee noted that in their warehousing items the unit has submitted items which have STE restrictions and the same cannot be allowed in warehousing activity.

rted by about 6-8 months time.

The Committee noted that in their warehousing items the unit has submitted items which have STE restrictions and the same cannot be allowed in warehousing activity.

Therefore, the Committee after due deliberation decided to permit the additional items to be warehoused by the above unit (subject to unit submitting specific 8 digit ITC HS Code for item at Sr. No. 2) on behalf of DTA/Foreign clients as submitted by the unit except items at Sr. No. 5 (it was observed that in past many UACs base oil is not permitted looking at its sensitivity) and Sr. No. 1 to 4 (STE items) of their proposal subject to the unit fulfilling NFE criterion and submission of KYC & ITR of last 3 years of their clients and addition of raw materials under manufacturing activity in their existing LoA subject to following conditions:

  • i) None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before.

  • ii) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable.

  • iii) Further, no DTA procurement and no DTA sale of raw materials falling under canalized items will be permitted.

  • iv) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail.

will be permitted.

  • iv) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail.

“ Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, 2 Development Commissioner, Kandla Special Economic Zone.

  • v) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities.

  • vi) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA.

  • vii) Further, the unit will give an undertaking that none of the items proposed above are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them.

AGENDA ITEM NO. 195.3.7

Permission to warehouse goods on behalf of DTA Importer/Foreign Clients - Request of M/s. Vishvajoti Packaging, a unit of Warehousing activity & Packaging service activity, KASEZ.

The Committee noted that M/s. Vishvajoti Packaging, KASEZ has requested for permission to warehouse additional items on behalf of Foreign/ DTA clients.

Shri Vivek Milak, Partner of the firm explained their proposal. He informed that they propose to warehouse products on behalf of their clients. He further stated that the items proposed for warehousing are toothbrushes, cosmetic items, pipes & tubes and razor blades.

The Committee asked the Partner of the firm about the toothbrush items mentioned at Sr. No. 1 to 4 of their proposal and as to whether CITES permission is required. In reply, Shri Milak stated that the toothbrushes proposed for trading & warehousing will be wood & plastic based and no animal based brushes which requires CITES clearance and they will procure the same from local market and then exported. The Committee asked the unit to submit an Undertaking to this effect.

The Committee after due deliberation decided to permit the additional items to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit subject to the unit fulfilling NFE criterion and submission of KYC & ITR of last 3 years of their clients subject to following conditions:

on behalf of DTA/Foreign clients as submitted by the unit subject to the unit fulfilling NFE criterion and submission of KYC & ITR of last 3 years of their clients subject to following conditions:

  • i) None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before.

“: Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, a Development Commissioner, Kandla Special Economic Zone.

  • ii) Further, the unit will submit health compliances with regard to cosmetics proposed for warehousing before undertaking of such activities.

  • iii) The items falling under Chapter 73 will be subject to compulsory registration under Steel Import Monitoring System (SIMS).

  • iv) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable.

  • v) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail.

  • vi) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities.

l prevail.

  • vi) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities.

  • vii) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA.

  • vili) Further, the unit will give an undertaking that none of the items proposed above are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them.

AGENDA ITEM NO. 195.3.8 Request of M/s. Kitchen Xpress Overseas Limited, KASEZ regarding permission to procure pulses from Domestic Market basis.

M/s. Kitchen Xpress Overseas Limited, KASEZ has been granted approval for manufacturing and trading activity of processed Pulses, Lentils, Grains, Spices, etc. and warehousing service activity of all OGL Items (except prohibited and_ restricted), as amended vide LoA No. KASEZ/IA/006/2010-11 dated 24.06.2010.

processed Pulses, Lentils, Grains, Spices, etc. and warehousing service activity of all OGL Items (except prohibited and_ restricted), as amended vide LoA No. KASEZ/IA/006/2010-11 dated 24.06.2010.

The said unit vide their letter dated 09.06.2023 from M/s. Kitchen Xpress Overseas Limited, KASEZ requested for the permission to procure pulses from Domestic Market basis on the removal of Prohibition of Export from India under FTP. The request of the unit was already taken in the 191st UAC meeting and was discussed. The Committee after deliberation directed the unit to provide the changes made in Policy after their previous request made in 2017 and deferred the proposal.

Now the unit vide their letter dated 28.09.2023 submitted the changes made in import policy.

Shri Vivek Milak, Authorized Representative of the company explained 14 their proposal. Shri Milak stated that they are et unit in KASEZ for

.

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

inutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

manufacture and export of pulses, grains, lentils, spices, etc. He further stated that the present request for permission for procurement of pulses from DTA on removal of prohibition of Export from India under FTP. He further stated that LoA has been issued through BoA and they are allowed to import pulses from Outside India and no procurement will be made from DTA till prohibition on exports continue in FTP. The unit informed that as pulses are already allowed for exports from India under the current FTP and basis the approval granted through BoA as well as under their LoA, DTA procurement shall be permissible to them.

The Committee noted the unit has been issued LoA subject to conditions that all the pulses will be imported from outside India and no procurement will be made from DTA till prohibition on exports continue in FTP and DTA sales shall also be subject to SEZ Rules & prevailing FTP regarding concerned items. The committee also noted that unit has made request in December 2017. The matter was discussed in 126% UAC and then the matter was took up with DoC. The Committee further asked Shri Vivek Milak about the previous request made in 2017. In reply, Shri Vivek Milak stated that their request was rejected on the lines of the case of another unit i.e. M/s. Adani warehousing services Pvt. Ltd. which was rejected by BOA in 81st meeting.

  1. In reply, Shri Vivek Milak stated that their request was rejected on the lines of the case of another unit i.e. M/s. Adani warehousing services Pvt. Ltd. which was rejected by BOA in 81st meeting. He further stated that their request is different from that of M/s. Adani warehousing services Pvt. Ltd. M/s. Adani warehousing services Pvt. Ltd. request was for the approval for warehousing and DTA sale of yellow peas/pulses and red lentils whereas their request was for the procurement of pulses from Indian market which will be processed in their unit and exported out of the country. Shri Milak requested to forward their representation to DoC to which the UAC agreed. The Committee noted that the DGFT vide Notification No. 38/20152020 dated 22.11.2017 has put all varieties of pulses, including organic pulses to Free category for export without any quantitative ceilings, till further orders.

The Approval Committee discussed the matter in detail and directed the unit to submit their representation detailing all the facts and decided to again take up the matter with DoC before permitting DTA procurement.

AGENDA ITEM NO. 195.3.9

Ratification in the list of items in Warehousing Service activity submitted by M/s. Vimal Trading, KASEZ and issuance of LoA Renewal for further five years period from 05.10.2023 under Rule 19(6) of the SEZ Rules, 2006 M/s. Vimal Trading, KASEZ is an approved unit in Kandla SEZ with LoA F. No. KASEZ/IA/21/2016-17 dated 25.01.2017, as amended for 15 Si,

:

Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

Warehousing Service and Trading activity. The LoA of the unit is valid upto 04.10.2023.

The proposal of the unit for renewal of LoA for further period of 5 years w.e.f. 05.10.2023 was placed in the 194th UAC meeting held on 27.09.2023 and the Approval Committee after due deliberation decided to renewal the LoA of the unit for trading and warehousing service activity for further period of 5 years w.e.f. 05.10.2023 subject to the unit submitting specific list of items in their warehousing service activity.

Now the unit has submitted specific list of items for warehousing activity from Sr. No. 1 to 12 as directed by the UAC in its 194th meeting held on 27.09.2023.

Shri Arvind Gajera, Partner of the unit appeared before the Committee to explain the proposal.

ousing activity from Sr. No. 1 to 12 as directed by the UAC in its 194th meeting held on 27.09.2023.

Shri Arvind Gajera, Partner of the unit appeared before the Committee to explain the proposal.

The Committee perused the list of items submitted by the unit and noted that some of the items mentioned at Sr. No. 4, 5 & 9 under the Warehousing Service Activity are sensitive in nature which the UAC is not permitting in the recent past.

Therefore, the Approval Committee after due deliberation decided to delete the items mentioned at Sr. No. 4, 5 & 9 under the Warehousing Service Activity and directed the DC Office for renewal the LoA of the unit for trading and warehousing service activity for further period of 5 years w.e.f. 05.10.2023.

Cancellation of Approvals granted by UAC in its earlier meetings for setting up unit in KASEZ.

It was brought to the notice of the Committee members that the following units of KASEZ have been granted approvals by the UAC in its earlier meetings for setting up unit in KASEZ and despite lapse of considerable time, the above units have not acquired sheds/plots in KASEZ and the in-principle LoAs issued to them have also been lapsed: -

|No.|||date/Approved in|
|---|---|---|---|
||||which UAC|
||Pvt. Ltd.|Services Activi||
||Automation|||
||Solutions|||
||||||

||Minutes|of the<br>195th|Unit Approval Committee Meeting of Kandla SEZ|Unit Approval Committee Meeting of Kandla SEZ|Unit Approval Committee Meeting of Kandla SEZ|Unit Approval Committee Meeting of Kandla SEZ|held on|
|---|---|---|---|---|---|---|---|
||19.10.2023<br>at<br>11:00||hrs<br>under<br>the<br>Chairmanship||of<br>Shri<br>Dinesh||Singh,|
|:|Development Commissioner, Kandla Special Economic Zone.|||||||
||=<br>Limited|||||||
|||International||Services Activi||||
|||Enterprises||Services Activi||||
|||Shree||Manufacturing &|18.10.2022|||
|||Mahadevji||Warehousing Service||||
|||Exports||Activi||||
||i|Venus’<br>Pipes|||Manufacturing Activity|28.11.2022|||
|||and<br>Tubes||||||
|||Ltd.||||||
|||Charbuja||Trading Activity|07.12,2022|||
|||Trading||||||
|||Compan||||||
|||Being<br>Healthy|||Manufacturing Activity|188 UAC 24.02.2023,|||
|||Foods|||the<br>unit|has_|not|
||||||submitting|||
||||||undertaking||as|
||||||directed by|the|UAC|
||||||tilldate.|||

|| |||Being<br>Healthy|||Manufacturing Activity|188 UAC 24.02.2023,||| |||Foods|||the<br>unit|has_|not| ||||||submitting||| ||||||undertaking||as| ||||||directed by|the|UAC| ||||||tilldate.|||




The Committee deliberated on the issue and were of the view that the permission granted to above units who have not acquired sheds/plots in KASEZ and their in-principle LoAs also lapsed may be cancelled. Further, the committee also noted that the above mentioned units have not applied for extension of their in-principle LoA as well so as to enable them to participate in the MSTC bidding auctions. 

Shri Vincent Colaco, Member opined that the above mentioned units are non-serious in-principle LoA holders and do not seem to be interested in doing serious business. 

Therefore, the Approval Committee after due deliberations decided that the in-principle approvals granted by the UACin its earlier meetings for setting up unit in KASEZ to the above units is being treated as cancelled with immediate effect. AGENDA ITEM NO. 195.3.11 Approvals granted to warehousing units in KASEZ for Arecanut/Betelnut and Pepper. 

Recent instances of some of the units of KASEZ were brought to the notice of the Committee members where warehousing units of KASEZ are frequently indulging in mis-declaration/mis-use of warehousing of goods viz. Arecanut/Betelnut and Pepper on behalf of their clients. \ 17 4 

.

mmittee members where warehousing units of KASEZ are frequently indulging in mis-declaration/mis-use of warehousing of goods viz. Arecanut/Betelnut and Pepper on behalf of their clients. \ 17 4 

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. 

It was also brought to the notice of the Committee members that DC office has received letters from DRI, Ludhiana Zonal Unit and DRI, Ahmedabad Zonal Unit against some units in KASEZ regarding misdeclaration and mis-use of SEZ scheme. 

The Committee noted that the letter dated 18.04.2023 from DRI Ludhiana Zonal Unit wherein it was informed that DRI has been investigating a case pertaining to one unit of KASEZ which has been appearing to import black pepper into the zone and diverting it into local market by taking it out from KASEZ on pretext of job work. The Committee also noted that letter dated 04.05.2023 from ADG, DRI Ludhiana Zonal Unit wherein case has emerged against one unit of KASEZ dealing in Black pepper which have indulged in forged Bills of lading and was fraudulently removing goods to persons/units who are non-traceable and non-existing. The unit was alleged to have committed conspiracy to bring Black pepper of unknown origin county into India. It was also requested by DRI, Ludhiana Zonal Unit to initiate proceedings for cancellation of the unit involved.

have committed conspiracy to bring Black pepper of unknown origin county into India. It was also requested by DRI, Ludhiana Zonal Unit to initiate proceedings for cancellation of the unit involved. 

Further, the Committee also took note of the letter dated 18.08.2023 from DRI, Ahmedabad Zonal Unit wherein it was intimated by DRI that some warehousing units of KASEZ are indulged in the illicit activity of smuggling Areca Nuts by mis-declaration and has shown negligence on the part of warehouse. Further, the Committee also noted that warehousing units usually argue that warehouses should not be held responsible for any mis-declaration/mis-use by importers as they are simply warehousing the items of their clients. 

Further, the Committee noted that the DGFT vide Notification No. 57/2015-2020 dated 14.02.2023 and further vide Notification No. 17/2023 dated 03.07.2023 amended the condition on import of Areca Nuts by units in the SEZ subject to the condition that no DTA sale is allowed. 

Shri Mehul Desai, Member’ opined that approval for Arecanut/Betelnut and Pepper to SEZ units which are only involved in providing warehousing services on behalf of their clients does not serve any purpose and the objectives of SEZ enshrined under Section 5 of SEZ Act, 2005 are not fulfilled.

ich are only involved in providing warehousing services on behalf of their clients does not serve any purpose and the objectives of SEZ enshrined under Section 5 of SEZ Act, 2005 are not fulfilled. 

Shri Gajendra Singh Chholak, Member further opined that the commodities like Arecanut/Betelnut and Pepper are very sensitive and prone to smuggling. Therefore, the Approval Committee unanimously decided to withdraw all the approvals granted to the units in KASEZ for warehousing of Arecanut/Betelnut and Pepper which are only involved th. 

: 

Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. in providing warehousing services on the behalf of their clients with a direction to intimate the DC office of cargo or transactions already finalised or shipped within 7 days from the issuance of minutes. Only those applications which are received within 7 days will be considered for clearance.

## AGENDA ITEM NO. 195.3.12 Ratification of SCN and O-I-O to be issued to Kandla SEZ units 

The Committee was briefed on the issue of Show Cause Notice and Order-in-Original yet to be issued to the KASEZ units. 

No. No. & Date - M/s. Lohadia | Yet to be issued Violation of terms and Warehousing conditions of LoA and Compan BLUT The Committee was briefed that the SCN bearing F. No. KASEZ/IA/024/2010-1 dated 02.12.2016 was issued to the mentioned unit in terms of Section 16 of the SEZ Act, 2005, Section 9 & Section 11 of FTDR Act, 1992 read with Rule 10 of FTDR Rules, 1993 for the violation of Condition of LoA of the Warehousing Permission Letter F. No. KASEZ/IA/24/2010-11 dated 25.10.2010 issued to them in as much as they had given their entire shed/space, allotted to them, to M/s Flax Apparels for storage of imported used clothing, which cannot be considered as warehousing services. Further, an order dated 28.10.2022 has also been passed by the adjudicating authority against the unit wherein penalty of Rs. 50,000/- was imposed for violation of the provisions of SEZ Rules and terms & conditions of LoA. Report from Appraiser (P&I) vide UO Note issued from F. No. KASEZPnI/17/2022-SEZ-KANDLA dated 21.09.2023 was brought to the notice wherein it was submitted by concerned PO during the visit of the unit found that goods i.e. bales of used clothes/export quality are stored there. On being asked Unit informed that the goods warehoused there belong to M/s. Flax Apparels Pvt. Ltd. and M/s. Flax Apparels is partner in the unit with 33% shareholding.

port quality are stored there. On being asked Unit informed that the goods warehoused there belong to M/s. Flax Apparels Pvt. Ltd. and M/s. Flax Apparels is partner in the unit with 33% shareholding. The members of the UAC unanimously agreed on the issues discussed and opined that the unit has been blatantly and persistently contravened the conditions of their LoA. The Committee authorised the Development Commissioner, KASEZ to issue the SCN in terms of Section 16 of the SEZ Act, 2005. 19 q 

Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, . Development Commissioner, Kandla Special Economic Zone. 

```text
|No.|||No.|&|Date||
|---|---|---|---|---|---|---|
|1.|Adinath|Warehousing||Yet|to|be issued|For<br>contravention<br>of|
||Co.|||||provisions of Rule<br>18(5)|
|||||||of SEZ Rules, 2006 and|
|||||||have<br>sub-letted<br>their|
|||||||premises<br>SCN_<br>dated|
|||||||20.09.2023 issued to the|
|||||||unit and unit appeared|
|||||||for<br>PH<br>on<br>17.10.2023|
|||||||and<br>submitted<br>written|
|||||||submission.|

|||||||premises<br>SCN_<br>dated| |||||||20.09.2023 issued to the| |||||||unit and unit appeared| |||||||for<br>PH<br>on<br>17.10.2023| |||||||and<br>submitted<br>written| |||||||submission.|




The Committee was briefed that the SCN bearing F. No. KASEZ/1IA/007/2010-11/5291-93 dated 20.09.2023 was issued to the mentioned unit in terms of Section 16 of the SEZ Act, 2005, Section 9 & Section 11 of FTDR Act, 1992 read with Rule 10 of FTDR Rules, 1993 for the violation of Condition of LoA No. 007/2010-11 dated 22.06.2010 issued to them in as much as they had given their entire shed/space, allotted to them, to M/s Texpoly Impex, KASEZ who have been storing imported second hand goods and carrying out the manufacturing activity of reprocessing of used and worn clothing by which they have contravened the terms and conditions as specified in Letter of Approval and contravening the provisions of Rule 18(5) of SEZ Rules, 2006. Further, Committee was informed that said SCN was issued with the approval of 194% UAC meeting held on 27.09.2023.

tter of Approval and contravening the provisions of Rule 18(5) of SEZ Rules, 2006. Further, Committee was informed that said SCN was issued with the approval of 194% UAC meeting held on 27.09.2023. 

UAC Committee was also informed that personal hearing was granted on 17.10.2023 which was attended by Shri. Rakesh Jain as the Authorized Representative of the firm. With reference of sub-letting, authorized representative submitted that they are having the agreement with M/s Texpoly, KASEZ for warehousing the goods but there was manufacturing activity of old and used clothes were being carried out which is utterly a mistake and he accepted that this mistake has been occurred at their end and in future such kind of instances will not be repeated. Shri Mehul Desai, Member also opined that such instances also very difficult to unearth, therefore, suitable action should be taken to deter such practices. 

UAC after due _ deliberations authorized the Development Commissioner, KASEZ to decide either to initiate the proceedings for cancellation of LoA or impose the exemplary penalty for such blatant contravention and gross irregularity. 

: 

Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. 

The Approval Committee ratified the following Show Cause Notice and Order-in-Original to be issued by the Development Commissioner, KASEZ and authorised the Development Commissioner, KASEZ to adjudicate the show cause notice being issued.

## AGENDA ITEM NO. 195.3.13 

Extension of validity of in-principle Letter of Approval for setting up unit in KASEZ. 

The Committee noted that the following units of KASEZ have been granted approvals by the UAC in its earlier meetings for setting up unit in KASEZ and the said units have not acquired sheds/plots in KASEZ and the in-principle LoAs issued to them have also been lapsed and now, the units have applied for extension of the same for further period in order to participate in MSTC upcoming bids: - 

|No.||||principle LoA issued|
|---|---|---|---|---|
|1|Madhu|Manufacturing|activity|20.05.2022|
||Fragrance||||
||Industries||||
||Enterprises||||
|||Activi|||



The Committee deliberated on the issue and noted that units at Sr. No. 1 & 2 are manufacturing unit and have requested for extension of inprinciple LoA for further period in order to participate in e-auction for acquisition of shed/plot whereas the unit at Sr. No. 3 is a warehousing unit and has requested for extension of in-principle LoA. 

Therefore, the Approval Committee after due deliberation decided to grant extension of in-principle LoA for further one year period in respect of units at Sr. No. 1 2 & 3 subject to the condition that the unit will acquire space in KASEZ within the said validity of one year extension granted.

ple LoA for further one year period in respect of units at Sr. No. 1 2 & 3 subject to the condition that the unit will acquire space in KASEZ within the said validity of one year extension granted. 

SUPPLEMENTARY AGENDA ITEM NO. 195.4.1 Permission to warehouse goods on behalf of DTA Importer/Foreign Clients - Request of M/s. AB Warehousing, a unit of Trading/ Warehousing activity KASEZ. The Committee noted that M/s. AB Warehousing, KASEZ has requested for permission to warehouse additional items on behalf of Foreign/ DTA clients. / 

: 

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. 

Shri Shabbir Rayma, Partner of the firm explained their proposal. He informed that they propose to warehouse products on behalf of their clients. He further stated that they are already drumming activity and they purchase cargo from Kandla Tank to their warehouse at KASEZ and they do drumming in 200 ltrs. drums which are then stuffed in containers for delivery at Kandla for further export.

activity and they purchase cargo from Kandla Tank to their warehouse at KASEZ and they do drumming in 200 ltrs. drums which are then stuffed in containers for delivery at Kandla for further export. 

The Committee asked the partner of the firm about the items already approved in their LoA and whether they have commenced operations in all the items approved. In reply, Shri Shabbir stated that they have done warehousing activity in almost all the items approved but for trading activity they have done only few items. The Committee directed the partner to submit the trading activity list and warehousing activity list to the DC office wherein they have not done any transactions and directed the DC office to process the said list of trading activity and warehousing items for deletion from their LoA list. 

The Committee after due deliberation decided to permit the additional item to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit subject to the unit fulfilling NFE criterion and submission of KYC & ITR of last 3 years of their clients subject to following conditions: 

- i) None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. 

- 11) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable.

will have overriding effect for any approval granted in LoA now or before. 

- 11) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. 

- ili) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. 

- iv) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. 

- v) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. 

- vi) Further, the unit will give an undertaking that none of the items proposed above are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them. ' 22 NN 

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Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. TABLE AGENDA ITEM NO. 195.5.1 Request for broad banding of additional O1 item in their existing manufacturing activity - Request of M/s Goods and Commodities Trading, KASEZ.

Special Economic Zone. TABLE AGENDA ITEM NO. 195.5.1 Request for broad banding of additional O1 item in their existing manufacturing activity - Request of M/s Goods and Commodities Trading, KASEZ. 

M/s. Goods and Commodities Trading, KASEZ is an approved unit with LoA dated 26.05.2023 issued from F. No. KASEZ/IA/GCT/23/2022-23 for manufacturing activity subject to certain terms and conditions enumerated in the aforesaid Letter of Approval, as amended. Now the said unit has requested for broad banding of one item in their manufacturing activity. 

Shri Sahil Choudhary and Shri Gagan Goel, Partners of the firm appeared before the Committee to explain their proposal. Shri Choudhary stated that they have requested for addition of one item in their manufacturing activity and the STE restrictions on the said finished goods viz. Garnet will not be applicable to SEZ manufacturing unit. He further stated that there is restriction on beach sand from Tamilnadu, Kerala and Karnataka which is a canalized item. He further stated that they will procure natural garnet from Rajasthan which will be processed in their KASEZ unit and will be exported to European countries like Polland, Norway, Spain, Portugal, etc. 

Shri Choudhary further stated that in 3 SEZs viz. MEPZ, APSEZ and VSEZ, 4 units have been granted approval for the said items and requested to consider their request for addition of one item in their manufacturing activity.

ted that in 3 SEZs viz. MEPZ, APSEZ and VSEZ, 4 units have been granted approval for the said items and requested to consider their request for addition of one item in their manufacturing activity. 

The Approval Committee after due deliberation decided to defer their proposal with direction to the DC office to get confirmation from the 3 SEZs as to whether they have granted permission for manufacturing of garnet in their respective SEZs. 

TABLE AGENDA ITEM NO. 195.5.2 Request of M/s. Keval Exports, KASEZ for broad-banding for addition of 02 items in manufacturing activity in their existing LoA. 

M/s Keval Export, KASEZ is an approved unit for manufacturing activity of micro crystalline cellulose powder, wheat starch, etc. as amended vide LOA No. KASEZ/IA/43/2007-08 dated 09.05.2008. 

Now the said unit has requested for broad banding of their LOA for addition of two items in their manufacturing activity. 

Shri Kamlesh Patel, Proprietor of the firm explained their proposal. 23 Shri Patel stated that they wish to add 2 items ina activity. He 

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Minutes of the 195t Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. 

further stated that they are in manufacturing of cellulose powder and wheat starch and they will not require any additional machinery for the proposed new items and the existing machinery will suffice.

her stated that they are in manufacturing of cellulose powder and wheat starch and they will not require any additional machinery for the proposed new items and the existing machinery will suffice. 

The Committee asked the Proprietor of the firm about the turnover of their unit and the end use of their products. In reply, Shri Patel stated that their annual turnover is about Rs. 14-15 crores and their product is a pharmaceutical products used in pharma industries. 

The Approval Committee after due deliberation decided to approve the proposal for addition of 02 items in manufacturing activity in their existing LoA subject to standard terms and conditions:- 

- i) Any restrictions on import/export of manufacturing items and its raw materials will apply. 

- li) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. 

- iii) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. 

- iv) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. 

- v) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA.

ore undertaking of such activities. 

- v) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. 

- vi) Further, the unit will give an undertaking that none of the items proposed and its raw materials are falling under negative list and if the items are found in negative list, penal action will be initiated against them.

## TABLE AGENDA ITEM NO. 195.5.3 

Permission for warehousing activity of additional items - Request of M/s. Shreeji Exports, KASEZ. 

The Committee noted that M/s. Shreeji Exports, KASEZ has requested for permission for warehousing activity of additional items. 

Shri Rajesh Devpura, Group Head Commercial of the firm explained their proposal. Shri Devpura informed that they have requested for permission for warehousing activity of additional items. 

The Committee after due deliberation decided to permit the additional items to be warehoused by the above unit on behalf of DTA/Foreign clients as submitted by the unit except item at Sr. No. 7 of their proposal, subject to the unit fulfilling NFE criterion and submission of KYC & ITR of 24 last 3 years of their clients subject to followinga 

. 

Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone. 

- i) None of the items which are restricted or prohibited will be allowed to be warehoused and any restrictions on import/export of any items will apply unless specifically permitted by the UAC. This clause will have overriding effect for any approval granted in LoA now or before. 

- ii) Further, the unit will submit health compliances with regard to cosmetics proposed for warehousing before undertaking of such activities. 

- iii) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable.

cosmetics proposed for warehousing before undertaking of such activities. 

- iii) Further, the items will be subjected to the Policy Conditions specified in DGFT’s ITC HS Code wherever applicable. 

- iv) In case of any discrepancy/mismatch between the ‘Description of Goods’ as provided by the Unit & ‘Description of goods as per DGFT Import Policy’, the later will prevail. 

- v) Further, the unit will obtain registration/clearance/any other mandatory requirement prescribed under any Act/Rules from concerned agencies before undertaking of such activities. 

- vi) Further, the unit will ensure the compliance of all guidelines, policies issued by any Ministry from time to time pertaining to the items approved in LoA. 

- vii) Further, the unit will give an undertaking that none of the items proposed above are falling under negative list and are not hazardous or require environmental clearance for storage/ transmission/ handling and if the items are found in negative list or hazardous in nature, penal action will be initiated against them.

## TABLE AGENDA ITEM NO. 195.5.4 Ratification of SCNs to be issued to Kandla SEZ units 

The Committee was briefed on the issue of Show Cause Notices to be issued to the KASEZ units. 

- The members of the UAC unanimously agreed on the issues discussed 

- in the SCNs in view of the contravention made therein. 

The Approval Committee ratified the following Show Cause Notice to be issued by the Development Commissioner, KASEZ and authorised the Development Commissioner, KASEZ to adjudicate the show cause notice being issued. 

**==> picture [450 x 128] intentionally omitted <==**

**----- Start of picture text -----**<br>
Sr. | Name of the Unit Show Cause| Issue in brief<br>No. Notice No. &<br>Date<br>Warehousing & conditions of LoA and BLUT -<br>Trading Co., unauthorized activi -<br>25 5,<br>**----- End of picture text -----**<br>


° 

| 

```text
|Minutes of the|Minutes of the|Minutes of the|195th|195th|195th|Unit Approval Committee Meeting of Kandla SEZ held on|Unit Approval Committee Meeting of Kandla SEZ held on|Unit Approval Committee Meeting of Kandla SEZ held on|Unit Approval Committee Meeting of Kandla SEZ held on|
|---|---|---|---|---|---|---|---|---|---|
|19.10.2023||at||11:00||hrs|under|the|Chairmanship<br>of<br>Shri<br>Dinesh<br>Singh,|
|Development Commissioner,|||||||Kandla|Special Economic Zone.||
|es<br>2s<br>M/s.

-|---|---|---|---|---|---|---|
|19.10.2023||at||11:00||hrs|under|the|Chairmanship<br>of<br>Shri<br>Dinesh<br>Singh,|
|Development Commissioner,|||||||Kandla|Special Economic Zone.||
|es<br>2s<br>M/s. Computerized| Yet to <br>Numerical<br>Control||||||||a<br>premises<br> be issued |Violation<br>of<br>terms<br>and<br>conditions of LoA and BLUT -||
||India|Pvt.||Ltd.|||||unauthorized<br>activity<br>-|
||||||||||leased/rented<br>out<br>their|
||||||||||premises|
|3.|M/s.||||Bajaj|||Yet to be issued | Violation<br>oof<br>terms<br>and|||
||Warehousing<br>Services||||||||conditions of LoA and BLUT -<br>unauthorized<br>activity<br>-|
||||||||||leased/rented<br>out<br>their|
||||||||||premises|
|4.|M/s.|||Tekwud| Yet to be issued |Violation<br>of<br>terms<br>and||||||
||Products||Pvt.||Ltd.||||conditions of LoA and BLUT -|
||||||||||unauthorized<br>activity<br>-|
||||||||||leased/rented<br>out<br>their|
||||||||||premises|
|5|M/s. Texpoly Impex|Yet to be issued | Violation<br>of<br>terms<br>and<br>conditions of LoA and BLUT -||||||||||
||||||||||unauthorised<br>activity<br>on|
||||||||||other’s premises|
||M/s.|||Summit |Yet to be issued |Violation<br>of<br>terms<br>and||||||
||(India)||||Water||||conditions of LoA and BLUT -|
||Treatment|||||and|||unauthorised<br>activity.<br>Report|
||Services||Ltd.||(Unit-||||has been received from DRI,|
||I)||||||||Ahmedabad<br>Zonal<br>Unit<br>vide|
||||||||||letter<br>dated<br>18.08.2023|
||||||||||wherein<br>it was<br>intimated<br>by|
||||||||||DRI<br>that<br>some<br>warehousing|
||||||||||units ofKASEZ are indulged in|

>Zonal<br>Unit<br>vide|
||||||||||letter<br>dated<br>18.08.2023|
||||||||||wherein<br>it was<br>intimated<br>by|
||||||||||DRI<br>that<br>some<br>warehousing|
||||||||||units ofKASEZ are indulged in|
||||||||||the illicit activity of smuggling|
||||||||||Areca Nuts by<br>mis-declaration.|
|7|M/s.||Mahamaya| Yet to be issued | Violation<br>of<br>terms<br>and|||||||
||Construction|||||&|||conditions of LoA and BLUT -|
||Engineer||||||||unauthorised<br>activity.<br>Report|
||||||||||has been<br>received from<br>DRI,|
||||||||||Ahmedabad<br>Zonal<br>Unit<br>vide|
||||||||||letter<br>dated<br>18.08.2023|
||||||||||wherein<br>it was<br>intimated<br>by|
||||||||||DRI<br>that<br>some<br>warehousing|
||||||||||units ofKASEZ are indulged in|
||||||||||the illicit activity of smuggling|
||||||||||ArecaNutsby<br>mis-declaration.|

It was also brought to the notice of the Committee members that DC office has issued Show Cause Notice to M/s. Transworld Furtichem Pvt. Ltd., KASEZ for not following the pollution control26 Al( and are flouting

7

Minutes of the 195th Unit Approval Committee Meeting of Kandla SEZ held on 19.10.2023 at 11:00 hrs under the Chairmanship of Shri Dinesh Singh, Development Commissioner, Kandla Special Economic Zone.

the norms related to pollution guidelines based on complaint received from their neighbouring unit and exemplary and deterrent action is to be initiated against the unit.

a Special Economic Zone.

the norms related to pollution guidelines based on complaint received from their neighbouring unit and exemplary and deterrent action is to be initiated against the unit.

Notwithstanding to the decisions of the Committee, if the DC Office/Approval Committee notices any instance of default in rent or pending legal proceedings as on date of decision of the Committee or any legal proceedings that may be initiated after the decision of the Committee against the unit/firm/company and/or its Proprietor/ Partner/Director, which has a bearing on the decision taken/LoA issued to the firm in any manner, the LoA granted will be liable for cancellation including action under the FT (D&R) Act and necessary action will be taken against such units in terms of applicable provisions of law.

The meeting ended with a vote of thanks to the Chair.

it.| Development Commissioner Kandla Special Economic Zone

27

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