Himachal Pradesh High Court Quashes Order Rejecting Ultra Tech's Claim For Grant Of Budgetary Support Scheme

In a recent ruling, the Himachal Pradesh High Court overturned a decision rejecting Ultra Tech Cement Ltd.'s claim for budgetary support under the GST regime. The court, comprising Chief Justice M.S. Ramachandra Rao and Justice Satyen Vaidya, emphasized the application of natural justice principles in administrative decisions affecting civil rights. \r

It critiqued the authorities for not providing a hearing to Ultra Tech before denying its claim based on a surplus in its GST credit ledger. The court underscored that such schemes necessitate adherence to natural justice, implying a right to be heard before adverse decisions.The case arose from a Central Government scheme offering budgetary support to units in Himachal Pradesh impacted by the GST transition. \r

Ultra Tech Cement Ltd. challenged the rejection of its claim, arguing that the surplus was attributable to a non-eligible unit. The court directed authorities to re-examine the claim after affording Ultra Tech a fair hearing, highlighting procedural fairness in administrative adjudication.