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TMI Blog2015 (12) TMI 742X X X X Extracts X X X X X X X X Extracts X X X X ..... a major raw material in the manufacture of rubber threads and it was being directly imported. The respondent applied for and was granted advance licenses under the Advance License Scheme for a period of 18 months. This was pursuant to para 4.15 of the Export-Import Policy where under an applicant would be allowed to import inputs free of import duty subject to the fulfillment of the stipulated export obligation as per the policy laid down by the Government. On 20.02.1999, a circular was issued whereby the import of natural rubber under such advance license was no longer permitted and it had to be sourced through State Trading Corporation ('STC'). The respondent approached the STC for supply of rubber against the advance licenses bu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... judgment. We find that the aforesaid view taken by the High Court is without any blemish and the High Court has given cogent reasons while holding that the circulars in question suffer from bias and arbitrariness and were discriminatory in nature. This aspect of classification is without any rational nexus between the differentia and the object which was sought to be achieved and the differentia is discussed by the High Court from paragraphs 30 to 33. Since we agree with the reasons given therein, the said paragraphs are reproduced below for the sake of brevity: "30. The second aspect of classification is the existence of a rational nexus between the differentia and the object sought to be achieved. Even if it were assumed - arguendo - t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of one period stipulated, namely six months, for revalidation of their licenses. That period was not given by one order, but in installments. Yet, it would not be appropriate for us now to give any further relief on that score. 33. The appeal is therefore allowed, and the judgment of the learned single Judge is set aside. The writ petition of the appellant is allowed. We hold and declare that; a) The impugned circulars dated 10.10.2003 and 11.12.2003 to the extent that they shorten the period of re-validity of licenses issued to 10.10.2003, are arbitrary and discriminatory; b) The appellants are entitled to seek revalidation (of the licenses that could not be worked out/utilized on account of the prohibition imposed in the policy d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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