Allowing the petition the Court held that any scheme of amalgamation, merger or demerger of companies would have to be approved by the jurisdictional High Court and the effective date may be the one provided by the High Court in its order. The appointed date may be one envisaged in the scheme or if any specification made in the order, that may be provided by the High Court. Therefore, any such scheme would be approved having retrospective effect. Till approval comes from the High Court, the scheme remains at the stage of proposal. Under such circumstances the Chief Commissioner was in error in refusing waiver based on a fallacious consideration that the instalments were paid by  Grasim Industries  Ltd  and not  Samruddhi Cement  Ltd. The order rejecting the waiver of interest was quashed. The Department should waive the interest payable by the assessee under section 234C, in terms of the Board’s Circular dated June 26, 2006 for the period in question. Consequently, if such interest had been already recovered, it was refundable. (AY. 2010-11)