9911796707
TMI Blog1987 (2) TMI 307X X X X Extracts X X X X X X X X Extracts X X X X ..... items mentioned therein could be imported. One of the items which could be imported, by virtue of the said licence, was Oxy Tetracyclene. 3. The aforesaid replenishment licence is easily transferable. The petitioner herein, according to the averments made in the writ petition, had purchased the said licence. 4. On the basis of the said licence, on 5th May, 1981, the petitioner opened a letter of credit for the import of Oxy Tetracyclene of the value of Rs. 14,43,124. The foreign suppliers shipped two consignments under the said letter of credit, one of which was cleared by the Customs authorities. The second consignment of 4250 Kgs. valued at U.S. $ 85,000 was shipped on board the vessel S.S. PRESIDENT EISENHOWER on 15th June, 1981. T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s been settled, therefore, the petitioners had suffered no loss." The petitioners then filed a revision petition before the Central Government but by order, dated 30th July, 1984, the same was dismissed on the ground that as per the current policy, revalidation was not possible. 8. In this petition filed under Article 226 of the Constitution, the petitioner challenge to the decision of the respondents in refusing to extend the validity of the licence. 9. In order to appreciate the contentions, it is first of all necessary to examine the relevant provisions of the Hand Book of Rules and Procedure and the Import Policy in connection with this item namely, Oxy Tetracyclene. 10. The licence which was sought to be utilised by the petitio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... less by virtue of the provisions of Appendix 17, the said item could be imported up to a particular percentage of exports made. Reference may now be made to the provisions of paragraph 345 of the Hand Book of Import and Exports Procedure for the year 1982-83. Replacement Licences : 345.0) Goods imported in replacement of those previously imported which have been found to be defective or otherwise unfit for use, or have been lost or damaged after import, would be allowed to be cleared under Open General Licence No. 4 provided the conditions stipulated under the said OGL are fulfilled. In respect of such replacement imports, the shipment should be made within 24 months from the date of clearance of the previously imported goods through t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paragraph 345(1) and those contained in Open General Licence will of course have to be adhered to. Sub-para (2) of Paragraph 345, however, is concerned with those types of cases, like the present, where the loss or short shipment or short landing is discovered at the time of clearance. In such cases the original licence if it has expired, is to be revalidated to facilitate the reimport of such goods, sub-para (3) provides of cases not covered by sub-paras (1) and (2) to be considered by the licencing authority on merits. 14. Reference may also be made, at this stage, to the provisions of Appendix 16 for the year 1979-80. Clause (5) of said Appendix 16 inter alia provided that goods could be imported which had been supplied free of charge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppendix 17. Therefore, merely because Oxy Tetracyclene was an item in the banned list in the year 1982-83 cannot be a valid ground for refusing to revalidate the licence because that item was on the banned list even in the year 1979-80. The position in the two years, remained the same. 17. Learned Counsel for the respondent has strongly relied upon a decision of the Supreme Court in the case of Union of India v. M/s. Godrej Soaps Pvt. Ltd. - 1986 (26) E.L.T. 465 (S.C.) = AIR 1987 S.C. 175 and also Rajparkash Chemicals Pvt. Ltd. v. Union of India - 1987 (30) E.L.T. 455 (S.C.) = AIR 1986 S.C. 1021. These cases have no application to the present case. The Supreme Court, in the aforesaid cases, was dealing with the items whose import had been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the insurance company only in November, 1982. The application for revalidation, was made soon thereafter in January, 1983. To my mind there is no unreasonable delay. In any case under paragraph 345(1) import under O.G.L. by way of replacement can be made within 24 months. In the present case, the goods were originally sought to be imported in July/September, 1981. Taking the time of 24 months as an indication, the present application for revalidation was made within that time, and as such the petitioners application could not be having rejected on the ground of delay. 19. With regard to the insurance claim having been settled, that is not disputed. However, that is not the ground given in the import policy for rejecting the claim for rev ..... X X X X Extracts X X X X X X X X Extracts X X X X
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