Delhi Government’s Revenue Department has imposed Rs69 crore on Holcim (India) Private limited — suppliers of cement and aggregates (crushed stone, sand and gravel) — for evasion of stamp duty. It also directed the company to pay stamp duty of Rs218.87 crore along with penalty of Rs69 crore within 30 days for violation of stamp duty. Collector of Stamps (HQ) lalit Mohan has passed an order in this regard.
Collector of Stamps (HQ) lalit Mohan told The Pioneer that Holcim (India) Private limited has violated the payment of stamp duty on the merger of Ambuja Cement Private limited under the Stamp Act.
“The stamp duty on the merger order is payable at the rate of 3 per cent on the total amount of Rs72,959,397,242 which comes out to be Rs2,188,781,917. The transferee company is therefore, directed to pay the aforesaid stamp duty within 30 days of the date of order failing which the same should be recovered as land revenue. The company is required to adjudicate or pay stamp duty within a period of one month which it failed to do so. In view of that company is liable for penalty under the provisions of the Indian Stamp Act, on account of delay of more than two years, I impose
penalty of Rs69 crore. The company is directed to pay stamp duty of Rs2188,781917 along with penalty of Rs69 crore within 30 days falling which the same should be recovered as arrear and revenue,” Collector of Stamps said in the order.
However, in its submission before the Revenue Department, the company stated that there is no transfer of movable and immovable assets from transferor company (Ambuja Cement Private limited) with transferee company Holcim (India) Private limited except shares held by transferor company in other companies have been transferred to transferee company.
“Under the scheme approved by the Delhi High Court, no fixed assets both movable and immovable were transferred from Ambuja Cement Private limited to the company. Accordingly, the question of payment of stamp duty under the head of ‘conveyance’ on the order passed by the Delhi High Court does not arise,” the company said.
Mohan further stated that if they don’t pay stamp duty and other penalty, under the Indian Stamp Act the revenue department can seize their property and land.