Thepfulhouvi Solo
Who would believe the Government of Nagaland collected Tax illegally and the Supreme Court ordered the State to return it back? In the early nineteen nineties, the NSCN (IM) Workers from outside Nagaland, for the first time forcibly tried to collect so-called “Loyalty Tax” even from indigenous Nagaland Officers in Kohima; the Angami Gazatted Officer Krotho (AGOK) deliberated on the ‘ISSUE’ for two days and decided in the principle:
i. “No Representation: No Taxation”
ii. “No Services: No Taxation”
The Krotho then, in face to face meetings arranged with the concerned Communities, civilly informed their Leaders: “the Angamis would not forcibly collect Tax from your people living in our Land, we would not go to your Land and forcibly collect Tax from your people there, but we would not accept your forcible collection of Tax on us in our own Land”. Even in the Church, the Collector from one Village Church do not go to another Village to collect the Membership amount though they be of the same Baptist or Catholic or Revival Church etc.
Then after that, the Organization created the Post of CAO (Chief Administrative Officer, Angami Region) and some worldly wise Angamis must have got Employment of Tax Collector and began to collect Tax for their Caesars.
In Nagaland, the collection of NAGA COMMISSION started from the Forest Department at the inception of the State in 1963. The Forest Department used to collect ‘NAGA COMMISSION’ @ 25 % of the Royalty on Timber and other Forest Products from the ‘Forest Contractors’. The DFO then deposited the amount to the Deputy Commissioner to be disbursed to the land Owners. The Forest Department long ago stopped felling of Trees in the Reserved Forests and all the Timbers in the State came from Non-Forest Villager’s Jhumlands.
The Court therefore passed a ruling that the Government has no Authority to collect NAGA COMMISSION from Forest Products not belonging to the Government. The Collection of Naga Commission was discontinued sometime in late 1970s.
Reading the cue, the Plywood Mills took the Forest Department to the Court against collection of ROYALTY on Timber. Royalty is said to be paid only to the ROYAL or the OWER, the Department is not the Royal in the case of Nagaland Timber. In the Guwahati High Court, the Department lost the Case. The Mills then demanded the return of ROYALTY paid since the inception of the not-Sovereign State of Nagaland.
The amount runs into unimaginable sums and the Government was in no position to return the Amount. The Department therefore filed Prayer to the High Court that the Royalty collected have been deposited as Government Revenue and have been utilized indistinguishably with the other Funds for Developmental works and for the Welfare of the People and therefore may not be returned. The High Court conceded the prayer. The Mill Owners however dragged the Department to the Supreme Court.
In the Supreme Court, the Department lost the Case. The Supreme Court stated Tax collected unauthorized is unlawful. The Court Order did not specify the time limit for the repayment but Ordered that unlawfully collected Royalty must be returned. The Order hit the Department like a Stone hit a man on the head.
Immediately, countless Mills, even those that have vanished long ago, together with the existing, began to resurrect from nowhere and claimed repayment of the Royalty, supported with commercial documents of paid Royalty. The Claim Papers filled the Office Steel Cupboard full. The Repayment amount ran into more than Rs. 440,000,000 (44. Crores) –an amount unimaginable in Nagaland 20 years ago.
The Law Department was consulted. The Department went to then Commissioner Secretary Law Mr. Zelre, now; Retired High Court Judge, to find out if there would be any ray of hope of reprieve from the awful burden. There were none; the Supreme Court Order is final; the Government of Nagaland has to return the whole Royalty amount it collected since the inception of the State!
This Writer, as Head of the Forest Department Forces, verbally requested some of the well known Mills not to demand the Return of the Royalty; incidentally it included a Minister of Nagaland, now no more, who had a Plywood Mill in his name. And since the Writer knew the Minister very well, his father and the Writer’s father were friends since before the First World War days and my father informed me his friend on his return gave him Rs 13/- from his earnings as Member of the Naga Labor Corps that went to Europe during the WW. I.
Completely unexpected to the Mill Owners, this Writer has then developed an IDEA to castrate the Mill Proprietors for their onus Claims and relieve the Government of Nagaland. It had to be so confidential and so secret, the Writer did many hours of calculations himself without the help of any of his Office Assistants who may be friend of some of the Company Managers. After the calculations were finalized, the Writer verbally warned the Companies that he would hit them with a Sledge Hammer if they do not withdraw their Claims.
This Writer informed the Naga Minister first out of a civil obligation he felt towards the Minister but His Honor said he would claim because others are also claiming. The Writer told him: “Sir, it is your decision, I feel an obligation to inform you ahead so that if things turn out bad, you may not feel bad with me”. He said: “I will claim, I will claim. Others are claiming”.
Then the Writer disclosed his ‘Sledge Hammer’. He explained to the Minister: “Sir, I have collected all the amounts of Royalty your Mill has paid to the Department since its establishment, from the Cash Book of the Division (Forest Department Accounting System is perhaps the best of all), it comes out to be some Rs 220 Lakhs. From your claim Papers, I have devised a mathematical formula to find out the total quantity of timber your Mill consumed -‘XXX’ cubic meters of Timber- according to the OUTSALE Papers you submitted and the value of Royalty of these ‘XXX’ Cubic Meters of Timber, is Rs 444 lakhs. So I will return you Rs 220 lakhs when you pay me first Rs 444 lakhs, otherwise Mills who do not clear their dues to the Government will be CLOSED in accordance with the Supreme Court Order!”
The Ministers’ mouth was not gapped wide but his Eye balls were opened round, black and wide the Writer has never seen before. The Mill Owners streamed beeline to the Department Office with earnest Statements they would not claim the Royalty back and that the Department should not close their Mills. The Petitions were gleefully but courteously rejected. There is no Guarantee the Mills would not Claim the Amount in future.
According to the ‘Sledge Hammer Formula’ calculations, the Mills, every one has to pay amounts ranging from Rs 18 lakhs to more than HUNDREDS OF LAKHS first before their claims are met, otherwise the Department threatened to Close their Mills.
To make a long story short: all the Mill Owners, each of them gave an interminable undertaking in legal Paper that they would NEVER in future claim the Amount. The Department and the Mills lived happily ever after.
Such is the consequences of Unauthorized Collection of Tax and the NGOs of Nagaland may not arrogate powers into their own hands on matters of Taxation, a very serious Subject.
The tireless Chief Minister of Nagaland has so far not shown the full extent of the Courage he has. Nagas have so far seen not enough of his Courage but in the Case of NAGA COMMISSION of the Naga Council of Dimapur, and in the case of keeping the Re-Naming of DIMAPUR in abeyance, he has shown the right Courage. The Chief Minister of Nagaland appears to be maturing wisely, he need not fear the CANSEA or the NBCC or the NAGA HOHO on matters of Propriety; his Courage has the singular distinctive power to set Nagaland on the Right Course.
Abraham Lincoln declared War on a section of his own people to eliminate the curse of SLAVERY from the Brow of the whole Nation, Queen Elizabeth expressed Horror at Slavery her Cabinet has approved; Nelson Mandela had the Courage to oppose APARTHEID of a dreadful Regime, Mahatma Gandhi had the Courage to oppose the force of Colonialism. The Biblical Goliath challenging the Jews was not Courage: it was wantonness of boldness. David deciding to fight the Giant against overwhelming odds is COURAGE. Leaders need to show Courage so that their timid subjects develop Courage.
It is very encouraging in Nagaland today individuals are now emerging with the Courage of conviction to challenge very popular but erroneous notions. Nagas must create Public Opinion to fight the Demons in us. It is only with PUBLIC OPINION that a Society can fight the Evils in the Government, in the Society and even in the Church Organizations. Help create Naga Public Opinion.
