Case Law Details
On reading of Section 10 (15A) of the Act it is apparent to us that for this Section, an Indian company engaged in the business of operation of aircrafts should have acquired aircraft(s) on lease under an agreement. It is only when an Indian company acquires aircraft on lease under an agreement, which was entered into on or before the 1st day of April, 2007, benefit under the said Section is available. Thus, the twin conditions; that the agreement should have been entered into on or before 1st April, 2007 and there should be acquisition of aircraft under the lease before the said date, have to be satisfied. If the two conditions are not satisfied, benefit under the said Section cannot be granted. To acquire an aircraft on lease in future after 1st April, 2007, will not meet the requirement of acquiring an aircraft on lease. A lease, which is to operate and begin after 1st April, 2007 would not qualify for advantage and benefit under the said section. The intention behind the said proviso is to restrict and not grant benefit after the particular/specified cut-off date i.e. 1st April, 2007. However, the legislature did not want to deny benefit in respect of earlier agreements, which had fructified and had been entered into and were already in operation before the said date. Thus, earlier operational lease agreements have been protected/saved. The words “to acquire aircraft on lease” mean an existing lease and not the lease, which is to begin or be operative in future on or after 1st April, 2007. To acquire an aircraft on lease means a lease agreement and postulates actual conveyance on/or before the cut of date, i.e., 1st April, 2007.
IN THE HIGH COURT OF DELHI AT NEW DELHI
W.P.(C) 8761/2010 –
GO AIRLINES PRIVATE LIMITED v. UNION OF INDIA
W.P.(C) 6429/2011 & 6438/2011
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