JUDGMENT

Kapadia, J.—Civil Appeal No. 10272 of 2003

This civil appeal by grant of special leave is directed against the judgment and order dated 31.07.2003 passed by a Division Bench of the High Court of Jharkhand by which it has been declared that Tata Cummins Ltd., an assessee under Bihar Finance Act, 1981 is entitled to the benefit of the Industrial Policy, 1995 read with the notifications no. 478 and 479 both dated 22.12.1995. By the impugned judgment the appellant-State and Commercial Taxes Department under the Bihar Finance Act are directed to adjust the refundable amount of Rs. 54.5 crores towards sales tax dues from the assessee for the accounting year commencing on and from 1.4.2004.

2. The facts giving rise to this civil appeal, briefly, are as follows :

In the year 1993, the Government of Bihar had announced an Industrial Policy with a view to attract investments and setting up of industries in the State. In the year 1995, the policy was modified partially. In its introduction, the policy set out the aims and objectives of the policy as to create an environment for optimum utilization of the State resources, to provide quality infrastructure for rapid industrialization, to