July 23, 2012. Essar Oil tied up a new credit facility from domestic banks to provide a credit line of up to ' 5,000 crore to meet its sales tax liability of ' 6,169 crore. The government of Gujarat is wants Essar Oil to pay its sales tax liability at the earliest due to delays in commissioning of its Vadinar refinery under the sales tax deferral scheme introduced in 1995. The government of Gujarat seized Essar Oil's three bank accounts for early recovery of its dues. Essar Oil stated that it continues to pursue the matter of repayment schedule of its sales tax liability both legally and with the Gujarat government. The completion of the Vadinar refinery phase 1 expansion and the early completion of the additional optimisation project at Vadinar complete the scheduled capex programme for the refinery.