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Challenge to the legality and correctness of the order of detention under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 based on the amended import policy for cars and vehicles. Analysis: The judgment by the Bombay High Court involved a petition for a writ of habeas corpus challenging the detention order issued under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974. The detenu was alleged to be involved in unauthorized monetary transactions related to the import and sale of cars in violation of the Foreign Exchange Regulation Act, 1973. The Detaining Authority based the detention order on the detenu's activities prejudicial to the country's foreign exchange resources. The grounds of detention included details of the detenu's involvement in importing cars through NRIs and selling them in India for profits. The petitioner contended that the Detaining Authority failed to consider the vital changes in the import policy for cars and vehicles introduced on 27-2-1990. The amended policy required NRIs to have stayed abroad continuously for two years and the vehicle to be in their use for at least one year before returning to India. The Detaining Authority's subjective satisfaction was challenged as it did not take into account the amended provisions while passing the detention order post the policy change. The Detaining Authority defended its decision by stating that the change in import policy was not crucial information for the detention order. However, the court found that the Detaining Authority's lack of awareness of the amended provisions and failure to consider them in light of the detenu's activities vitiated the subjective satisfaction required for the detention. The court emphasized that the Detaining Authority should have applied the new provisions to the detenu's case and considered the impact of the changes on the decision to detain him. Ultimately, the court held that the Detaining Authority's failure to consider the amended import policy provisions rendered the detention order invalid. The court allowed the writ petition, ordering the detenu's immediate release if not required in any other case. The judgment highlighted the importance of considering relevant legal changes and provisions in making detention decisions under the law. In conclusion, the Bombay High Court's judgment focused on the necessity for the Detaining Authority to take into account and apply amended legal provisions, such as changes in import policies, when making detention orders under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974. The court's decision underscored the significance of ensuring that subjective satisfaction in such cases is based on a comprehensive assessment of all relevant legal aspects, including policy amendments impacting the alleged activities of the detenu.
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