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2001 (12) TMI 871

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..... cution of contract. Directions have also been sought to quash or nullify the effect of notifications dated 6th December, 1975 and 5th November, 1979 whereby Government notified that the benefits would be applicable prospectively and not retrospectively. 2. In order to appreciate the challenge raised, we may have a glance to the facts of this case. Government of India announced benefits under the Replenishment Scheme including cash assistance for encouraging supply of indigenously manufactured goods to Indian buyers to enable them to obtain indigenously the requisite goods at an internationally comparable price. The Scheme was in fact promulgated to enable the indigenously established manufacturers to compete with international manufactu .....

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..... id down in the circular petitioner was required to register the contract with the State Bank of India. He accordingly registered his contract with State Bank of India on 23rd September, 1975 i.e. within the prescribed period. From 1st April, 1975 the rate of cash assistance were drastically reduced by the Government, therefore, petitioner sought confirmation from the Engineering Export Promotion Council about the export benefits. The said Council confirmed vide letter dated 25th October, 1975 that IDA contracts would qualify for grant of cash assistance with other facilities as per the scheme of registration of contracts. The Engineering Export Promotion Council vide notification dated 6th December, 1975 intimated that the date of submiss .....

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..... eviously declared policy of the Government and amounted to discrimination. Thus petitioner was made to suffer loss of ₹ 73,04,929.78P because the pending claims of the petitioner with regard to the cash assistance and replenishment benefits were denied to him by the respondent. Aggrieved by this action the present writ petition was filed. 5. In spite of opportunities given no counter affidavit was filed by the Union of India nor any one on behalf of the Union of India was present when arguments were heard. Therefore, we have heard Counsel for the petitioner only and examined the record produced by him. Notification issued by the Government of India dated 6th December, 1975 clearly stipulated that in respect of contracts for sup .....

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..... te for considering the benefit was the date of offer. But this notification dated 6th December, 1975 was not applicable to the petitioner. His offer was prior to December, 1975 and its acceptance was also prior to the issuance of the notification dated 6th December, 1975. Therefore, so far as petitioner is concerned he could not take advantage of notification dated 6th December, 1975. He was governed by the public notice dated 8th December, 1969 pursuance to which he gave the tender. Sub-clause (v) of para 3 of the said notification dated 8-12-69 provided that for the purpose of determining the date of contract, the date on which all the terms and conditions had been finally settled would be deemed as the crucial date of contract. Therefore .....

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..... itioner acknowledged vide the said letter that the public notice dated 6th December, 1975 did not fully met his requirements. His problem pertained to the period prior to 5th December, 1975, therefore, requested that the matter be taken up with the Ministry of Commerce to accord recognition even to contracts entered into prior to 5th December, 1975 for determining cash assistance . Similarly the public notice dated 5th November, 1979 amended the Appendix-20 and added Clause (d). In that public notice a para was inserted clarifying that price variation clause would apply if it was relating to material/ labour cost based on fixed parameters spelt out in the contract itself and not subject to any negotiation after signing of the contract. The .....

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