PARA 6.6
- Document type
- Policy
- Reference no.
- 06
- Dated
Letter of Permission/ Letter of Intent and Legal Undertaking
6.6
- (a) On approval, a Letter of Permission (LOP)/Letter of Intent (LOI) shall be issued by the Development Commissioner to EOU/EHTP/STP unit. The LOP shall have an initial validity of 3 years for commencement of production. Its validity may be extended by another 3 years, beyond initial validity, by the competent authority. However proposals approved prior to 1.4.2002 shall be considered on case to case basis by the BOA beyond six years. Standard Format for LOP extension is given in Appendix 14-IMM.
(Paragraph 6.6(a) has been amended vide NTF. No. 28/2003, DT. 28/01/2004)
[OLD -
(a) On approval, a Letter of Permission (LOP)/Letter of Intent (LOI) shall be issued by the Development Commissioner to EOU/EHTP/STP unit. The LOP shall have an initial validity of 3 years for commencement of production. Its validity may be extended by another 3 years, beyond initial validity, by the competent authority. However proposals approved prior to 1.4.2002 shall be considered on case to case basis by the BOA. ]
(b) LOP/LOI issued to EOU/EHTP/STP units by the concerned authority would be construed as a licence for all purposes.
(c) The unit shall execute a legal undertaking with the Development Commissioner concerned. Failure to ensure positive NFE or to abide by any of the terms and conditions of the LOP/LOI/IL/LUT shall render the unit liable to penal action under the provisions of the Foreign Trade (Development & Regulation) Act, 1992 and the Rules and Orders made there under without prejudice to action under any other law/rules and cancellation or revocation of LOP/LOP/IL.