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TMI Blog1987 (8) TMI 200X X X X Extracts X X X X X X X X Extracts X X X X ..... or the period AM-83 to enable the petitioners to import raw materials and packing materials for fulfilling the said export order. On the anticipation of the receipt of the said advance licence, the petitioners went ahead and took necessary steps for the manufacture and export of Toilet Soap to the Russian buyer. Between the period from May 31, 1983 to July 29, 1983 the actual exports of 975 metric tonnes were effected. The petitioners had to make arrangements for raw materials from its available stocks of imported inedible tallow because, in order to start exports from May 1983 the petitioners could not wait for the actual issue of the advance licence which was issued only on April 28, 1983. The advance licence dated April 27, 1983 bearing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... edible tallow subject to the original quantity and value limits. (b) A request was made to amend the original advance licence to read export obligation for 975 metric tonnes instead of 1000 metric tonnes as 25 tonnes was not exported since it was not commercially viable to do so. 6. By a letter dated January 12, 1984, the second respondent informed the petitioners that the said advance licence was being returned as amended deleting inedible tallow, but in respect of the request of allowing of the import of palm kernel oil instead of inedible tallow, the petitioners were asked to approach the third respondent, i.e. the Chief Controller of Imports and Exports. It appears that since the licence was expiring some time in April 1984 the peti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rrent import-export policy. 9. The petitioners filed an appeal against the aforesaid order dated February 22, 1985 to the appellate authority but the Controller of imports and exports (i.e. the appellate authority) rejected the petitioners appeal on December 31, 1985 without assigning any reason as such. The petitioners had no choice but to file this petition on March 27, 1986. 10. Mr. Desai appearing for the petitioners submitted that the respondents had acted in a manner which could be considered as arbitrary and without application of mind. The only ground as can be seen from the cryptic order is that the current import/export policy did not permit revalidation beyond eighteen months. If one has regards for AM-83 policy and also the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ition or ban with regard to the import of the substitute item. It is expected of public authorities, that a reasonable request reasonably made is not rejected unreasonably. That is why they are imbued with such powers that they shall not exercise the same arbitrarily or capriciously. In the present case nowhere, either in the cryptic orders that came to be passed or in the affidavit-in-reply, the respondents have been able to set out as to why the substitute as asked for could not be granted to the petitioners. All that is said is that the current policy does not empower the revalidation of the licence. This is per se untenable. In my view the petitioners are entitled to the relief as asked for. 13. The petitioners also contend that it is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f AM 82-83 and he in particular pointed out that exports made from the date of receipt of the advance licence application by the licensing authority will be accepted towards discharge of the export obligation. In the present case the petitioners have complied with the requirements of condition No. 17 and, therefore, since their export obligation has been fulfilled the petitioners are entitled to the import as per Appendix-19. 16. I may also mention that there is no dispute as to the quantum exported or required to be imported. In fact Mr. Desai points out that under the licence as revalidated, the petitioners would be entitled to import 175.5 metric tonnes of Palm Kernel Oil and 702 metric tonnes of Palm Stearine. This has been mentioned ..... X X X X Extracts X X X X X X X X Extracts X X X X
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