LexThe Haryana Industrial Promotion Act, 2005
Haryana · state statute
Open in Lexace · Ask the AI about this actHARYANA GOVT. GAZ. (EXTRA), JAN . 16, 2006
(PASUS . 26, 1927 SAKA) 7
PART 1
HARYANA GOVERNMENT
LEGISLATIVE DEPARTMENT
Notification
The 16th January, 2006
No. Leg. 6/2006.- The following Act of the Legislature of the
State of Haryana received the assent of the Governor of Haryana on the
9th January, 2006, and is hereby published for general information:-
HARYANA ACT NO. 6 OF 2006
THE HARYANA INDUSTRIAL PROMOTION ACT, 2005
AN
ACT
to provide for simplification of regulatory framework for speedy
implementation of industrial and other projects in the State of Haryana by
providing single point time bound clearances required for setting up
industrial undertaki ngs and assistance to promoters, reducing the
procedural requirements, rationalizing the documents and to ensure
hassle free operation for the promotion of industrial development and
facilitation of new investments and to provide for an investor friendly
environment in the State of Haryana.
Be it enacted by the Legislature of the State of
Haryana in the Fifty-sixth Year of the Republic of India as follows:-
CHAPTER I
1. (1) This Act may be called the Haryana Industrial Promotion Act,
2005.
(2) It extends to the whole of the State of Haryana.
(3) It shall come into force on such date as the State Government
may, by notification, appoint.
Short title,
extent and
commence
ment.-
2. In this Act, unless the context otherwise requires, -
(a) “any State law” means a ny law of the Legislature of the State of
Punjab as amended and adapted in its application to the State of
Haryana and the law made by the Legislature of the State of Haryana;
(b) “authority” means any department of the State Government or a local
authority or any statutory Board, Corporation or other authority
established by the State Government and entrusted with the powers and
responsibility to grant or issue clearances;
Definitions.
HARYANA GOVT. GAZ. (EXTRA), JAN . 16, 2006
(PASUS . 26, 1927 SAKA) 8
(c) “clearances” means grant or issue of no objection certificate,
allotments, consents, approvals, permissions, registration,
enrolments, licences and the like, by any authority or authorities
in connection with setting up an industrial undertaking in the
State of Haryana;
(d) “Committee” means the High Powered Clearance
Committee, State Level Clearance Committee, District Level
Clearance Committee, as the case may be;
(e) “District Level Clearance Committee” means a Committee
constituted under section 5;
(f) “entrepreneur” means a person or a body of persons or a
company, having majority investment or controlling interest in
an industrial undertaking;
(g) “State Gove rnment” means the Government of the State of
Haryana;
(h) “High Powered Clearance Committee” means the
Committee constituted under section 3;
(i) “industrial undertaking” means an undertaking engaged in
manufacturing or processing or both or providing service of
doing any other business or commercial activity as may be
specified by the State Government;
(j) “Nodal Agency” means the Nodal Agency at the State level
or at the district level constituted under section 7;
(k) “prescribed” means prescribed by rules made under this Act;
and
(l) “State Level Clearance Committee” means the Committee
constituted under section 4.
CHAPTER II
Constitution,
functions and
powers of High
Powered
Clearance
Committee.
3. (1) The State Government may, by notification, constitute a
single point clearance committee called “High Powered
Clearance Committee” consisting of such members as may be
prescribed.
(2) The Committee shall perform the following functions,
namely: -
(i) to meet at such times and at such places and
adopt such procedure to transact its business as
may be prescribed;
(ii) to receive Composite Application Forms for grant of
clearance for setting up industrial units with
proposed investment of Rs. 30.00 crores and
above;
HARYANA GOVT. GAZ. (EXTRA), JAN . 16, 2006
(PASUS . 26, 1927 SAKA) 9
(iii) to review and monitor the processing of application by the
authority and forward the orders of the aut hority to the
applicant;
(iv) to inform the entrepreneur the date on which his application
may be deemed to have been approved in the case of
deemed approval;
(v) the member of the Committee shall personally attend the
meeting and in case he is unable to attend the meeting, he
may depute a senior level officer to attend the meeting with a
written authorization decision in the meeting.
(3) The Committee shall be the final authority in granting
clearances. The clearances given by the Committee shall be binding on all
concerned authorities and such authorities shall issue the required
clearances to the entrepreneur within stipulated time.
4. (1) The State Government may, by notification, constitute a single point
clearance committee called the “State Level Clearance Committee”
consisting of such members as may be prescribed.
Constitution,
functions and
powers of State
Level Clearance
Committee.
(2) The Committee shall perform the following functions, namely: -
(i) to meet at such times and at such places and adopt such
procedure to transact its business as may be prescribed;
(ii) to receive Composite Application Forms for grant of cle arances
for setting up industrial units with proposed investment of above
Rs. 5.00 crores and below Rs. 30.00 crores;
(iii) to review and monitor the processing of application by the
authority and forward the orders of the authority to the
applicant;
(iv) to inform the entrepreneur the date on which such applications
may be deemed to have been approved in the case of deemed
approval;
(v) the member of the Committee shall personally attend the meeting
and in case he is unable to attend the meeting, he may depute
a senior level officer to attend the meeting with a written
authorization to take appropriate decision in the meeting.
(3) The State Level Clearance Committee shall be the final authority in
granting clearances. The clearances given by the Committee shall be binding
on the authorities concerned and such authorities shall issue the required
clearances to the entrepreneur within stipulated time.
HARYANA GOVT. GAZ. (EXTRA), JAN . 16,, 2006
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Constitution,
functions and
powers of
District Level
Clearance
Committee
5. (1) The State Government may, by notification, constitute a single
point clearance committee at the district level called the “District Level
Clearance Committee” consisting of such members, as may be
prescribed.
(2) The Committee shall perform the following functions, namely: -
(i) to meet at such times and at such places and adopt such
procedure to transact its business as may be prescribed;
(ii) to receive Composite Application Forms for grant of
clearances for setting up industrial units with pr oposed
investment upto Rs. 5.00 crores;
(iii) to review and monitor the processing of application by the
authority and forward the orders of the authority to the
applicant;
(iv) to inform the entrepreneur the date on which such
applications may be deem ed to have been approved in
the case of deemed approval;
(v) the member of the Committee shall personally attend the
meeting.
(3) The District Level Clearance Committee shall be the final authority
in granting clearances. The clearances given by the Committee at the
district level shall be binding on the authorities concerned and such
authorities shall issue the required clearances to the entrepreneur
within stipulated time.
Appeal. 6. (1) Any person aggrieved by the decision of the High Powered
Clearance Committee. State Level Clearance Committee and District
Level Clearance Committee disapproving the project may, within thirty
days from the date of receipt of communication of the decision of the
Committee appeal to the appellate authority as may be prescribed and
different appellate authorities may be prescribed in respect of the
appeals against the decision of different level of Committees.
(2) The appellate authority shall after following such procedure as
may be prescribed, dispose of the appeal within the period of one
month from the date of its receipt.
Appointment and
functions of
Nodal Agency.
The State Government may, by notification, appoint the „Investment
Promotion Centre, Chandigarh‟ as a “Nodal Agency” at the State level
and „District Industries Centre‟ as the “District Nodal Agency” at the
District level.
(2) The Nodal Agency shall provide secretarial support to the
District Level Clearance Committee, State Level Clearance Committee
and High Powered Clearance Committee.
(3) The functions of Nodal Agency at the District level and State
level shall among others include the following, namely: -
HARYANA GOVT. GAZ. (EXTRA), JAN . 16,, 2006
(PASUS . 26, 1927 SAKA) 11
(a) to carry out investment promotional activities;
(b) to guide and assist entrepreneurs to set up industries in the
District/State;
(c) to guide Composite Application Form to the entrepreneurs and
also to receive the forms from them and to arrange required
clearances from authorities within stipulated time;
(d) to issue Composite Application Form to the entrepreneurs and
also to receive the forms from them and to arrange required
clearance from authorities within stipulated time;
(e) to provide secretarial support to the High Powered Clearance
Committee, State Level Clearance Committee and the District
Level Clearance Committee; and
(f) to perform any other function as may be entrusted to it by the
State Government.
8. The State Government shall prescribe Composite Application
Forms for the use of entrepreneurs.
Composite
Application
Forms
9. Notwithstanding anything contained in any State law for the
time being in force, -
(a) the State Government may prescribe the procedure for
processing and disposal of Composite Application
Forms;
(b) the State Government may prescribe time limit for
processing and disposal of Composite Application
Forms by the authorities;
(c) the authori ty may ask for additional information before
the expiry of the period stipulated for the disposal of
such clearance with a copy to Nodal Agency:
Provided that such request for additional information
shall be made only once by the authority;
(d) the entrepreneur shall furnish the required information
to the authority and also to the Nodal Agency
simultaneously;
(e) after receipt of the additional information, the authority
shall pass orders on the applications before the expiry
of the stipulated time from the date of receipt of such
additional information and send the same to the Nodal
Agency so that the same can be given to the applicant;
(f) the Committee shall examine the order passed by any
authority, rejecting any clearance or approving it with
modification and if the Committee considers that there
are valid grounds for a change in such decision, it shall
take a decision which shall be binding on the authority.
Processing and
disposal of
Composite
Application
Forms.
HARYANA GOVT. GAZ. (EXTRA), JAN . 16, 2006
(PASUDS . 26, 1927 SAKA) 12
Undertaking 10. (1) Every entrepreneur shall furnish an undertaking at the time of
submitting the duly completed Composite Application Form and
thereafter once in a year to the Nodal Agency that he shall comply with
the provisions of this Act and the rules made thereunder. The
undertaking shall be furnished in such form as may be prescribed.
(2) The undertaking furnished by the entrepreneur shall be
accepted by the authorities for the purpose of issuing and granting
clearance and giving other benefits to the entrepreneur.
Deemed
approval
11. (1) The authority notwithstanding anything contained in any State
law for the time being in force, shall issue clearances within the
stipulated time limit failing which such clearances shall be deemed to
have been issued.
(2) The entrepreneur may proceed to execute the work or take
other action following the deemed approval, but not so as to contravene
any of the provisions of this Act or rules or bye -laws made thereunder
to such clearances.
Penalty 12. Any entrepreneur who fails to comply with the conditions of
undertaking given to the Nodal Agency, shall on conviction be
punishable with fine which may extend to five thousand rupees on first
offence and for the second or subsequent offence wi th fine which may
extend to ten thousand rupees.
Offences by
companies
etc.
13. (1) Where an offence under this Act is committed by a company,
the company, as well as every person in charge of and responsible to
the company for the conduct of its busines s at the time of the
commission of the offence shall be deemed to the guilty of the offence
and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub -section shall
render any such person liable to a ny punishment if he proves that the
offence was committed without his knowledge or that he exercised all
due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub -section (1), where
an offence under this Act has been committed with the consent or
connivance of, or that commission of the offence is attributable to any
neglect on the part of any director, manager, secretary or other officer,
such director, manager, secretary or other officer shall also be d eemed
to be guilty of that offence and shall be liable to the proceeded against
and punished accordingly.
Explanation: For the purposes of this section, -
a) “company” means anybody corporate and includes a
proprietorship, firm or other association of individuals; and
b) “director” in relation to a firm means an individual in case
of proprietorship and a partner in case of partnership firm.
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14. (1) The State Government may, by notification, make rules to carry
out the purposes of this Act.
Power to
make rules
(2) Every rule made under this Act shall be laid, as soon as may
be, after it is made, before the House of the State Legislature, while it is
in session. If the House agrees in making any modification in the rule or
the House agrees that the rule should not be made, the rule shall
thereafter have effect only in such modifie d form or be of no effect, as
the case may be, so, however, that any such modification or annulment
shall be without prejudice to the validity of anything previously done
under that rule.
15. No suit or legal proceedings shall lie against the chairman or other
members of the Committee or any employee of such Committee in
respect of anything which is in good faith done or intended to be done
under this Act or any rule made thereunder
Protection
of action
taken in
good faith
16. If any difficulty arises in giving effect to the provisions of this Act, the
State Government may, by order, not inconsistent with the provisions of
this Act, remove such difficulty:
Power to
remove
difficulties
Provided that no such order shall be made after the expiry of the period
of two years from the date of commencement of this Act.
-----------------------------
R.S. MADAN
Secretary to Government, Haryana,
Legislative Department.
40433-L.R.-H.G.P., Chd.