{"id":62757,"date":"2008-03-13T00:00:00","date_gmt":"2008-03-12T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/federation-of-karnataka-chamber-vs-hubli-electricity-supply-co-ltd-on-13-march-2008"},"modified":"2018-10-17T10:31:06","modified_gmt":"2018-10-17T05:01:06","slug":"federation-of-karnataka-chamber-vs-hubli-electricity-supply-co-ltd-on-13-march-2008","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/federation-of-karnataka-chamber-vs-hubli-electricity-supply-co-ltd-on-13-march-2008","title":{"rendered":"Federation Of Karnataka Chamber … vs Hubli Electricity Supply Co Ltd on 13 March, 2008"},"content":{"rendered":"
Karnataka High Court<\/div>\n
Federation Of Karnataka Chamber … vs Hubli Electricity Supply Co Ltd on 13 March, 2008<\/div>\n
Author: N.K.Patil<\/div>\n
\ufb01\ufb02\n\nmm Houmusz nun. .1u3'r1cn mr.s   %\n\nwnrr PETITION No.  \"fr  \nB   _   \n\nms AMRITSAR swApE'sHi%i.wdLLE'NvAA--!\u00a7i:LLs\nA PARTNERSHIP FIRM H.~sV1Nc3'L.1Ts I .. \n\n AT\" NG.67;4A, SNVDLISTR-lA!,.. SUBLIRB\n\nBANGALGRE 360 022 ._ '-\n\nREPRE$E'.'\u20ac--':E'E,\ufb02 3\": n*s1;.%im;I*:*14.--r.\u00a7:-izsen\nREp1msE:uTA*::':3zE ssU\u00a7\u00a7*s'A.xsA_1gA+{AN S.P.\n\n(By\"--sn' 4; sHyA=\u00a7;.;;oL\u00a7TNI\u00a71.NvA A 3 3.-. \"EN 'Y P'UL '1' K, ADV)\n\n  UvNIOl'A~Al\"Ov~----E--!' U..DE'.-R, X91?-3919999\nAND 227 OF THE 'QONSTiTUTl'0._N.'0F mm P AY G TO\n THAT irvii=<:-5-:+.=.'i*:;',':i'+\u00ab' :.0I;*999'ji*.-m~:;aL'r'; 3'; WA? 9\nFORFEITURE BY RESPONDENTS-'~UND_E._F\u00a5 EXPORT POLICY<\/pre>\n
1996-1999 IS”iL_LEGA”L’AN’I) U.1.;TRA’.WFE’F.S ii\u00bb: RELA’T’iON ‘TO
\nSECTION 11′  THE FOREIGN–._TRAI)E REGULATION ACT
\n1992[FI’DVR-A ?;3.c:1’]e, _’FURTl+}ER DECLARING THAT THE
\n.A.:.\u00bb._rur_wr:..A.1*1t:.~u~:  9 meaczggpgnag ADOPTED BY
\nRESPQNDV!\u00a3.N’l’S_.V_NO,_1 mm. m BE ILLEGAL AND ULTRA
\n‘VIIRES :rz9\u00a5F.R}.\u00a39’ 99 13 09 THE 9999199 TRADE
\nRE\u20ac}ULATIONV~e-AGT ‘*[F”l’-DRA] 1992, DECLARE THAT THE
\nCCILLEC’:_’i”i(iN  ‘i:,LEG;aL PENAL’I”r’ 3’1′ RESPGND’:5′.N’I’S
\nFROM’-.’l’H9L3 I=F:riT:oN9:Rs TO THE CONSOLlDA’l’ED FUND<\/p>\n
O]? INDIATO  ILLEGAL AND U”‘T’RA VIRES;<\/p>\n
 ;__:’THIS ‘APE’!-‘.!.’.!’.!ON, COMING on FOR PREIJMINARY<\/p>\n
‘;._I::..A;\u00bb.9,:2~.r G= -9’ f.}R\u00a3_)l_.IP, THIS DAY THE COURT MADE THE
\n‘  F. Lmwma:\n<\/p>\n
\u00a3$.E.E_B<\/p>\n
H  :The petitioner, a manufacturer] garment exporter<\/p>\n
V * .,_9\u00a7rhen allotted an export entitlement under the Fimt Come<\/p>\n
First Serve (FCFS), quota, in country catacgozry US-340, 633.
\nEU-6, CA-‘7 duzing the year 1998 in terms of the noti\ufb01cation<\/p>\n
dated 16- 10-1996 (for short ‘Po]icy’), e\ufb01ected 58.6%  tllle<\/p>\n
#\ufb01’\\<\/p>\n
\ufb01’zndn.rK “-1*
\n\u00ab ‘.’  4:31.:-pr’uN.I}EN :3 <\/p>\n
entitieinent, resiiiting in- the Appmel E.’q1-tl_1er  by older
\ndated 26-10-2004  Second Appellate<\/p>\n
Cglllinitteeglv   <\/p>\n
 __  is  Statement of objections
\ndated    respondent and Statement of<\/p>\n
objections da\ufb01acl  of Respondents 1 and 2.<\/p>\n
  3.\u00bb. In tl1eStatement of objections of Respondents 1 and<\/p>\n
V  2._   that export of textiles and clothing from<\/p>\n
   on bilateral agreements entered into between<\/p>\n
Clove:f:1ine11t of India and Governments of developed<\/p>\n
Al I lg;-unt1_Les under Ll-.. aegis of the erstwhile Multi Fibre<\/p>\n
the year 1974. T e
\nto as “Quota countries” who have placed restraints on i1n:)ort
\n_.;J<\/p>\n
L)’\\<\/p>\n
o” ‘peoi\ufb01ed textile categories “Quou-..  ___t;..g:.
\nannuai levels pnoaoiibed in the    th”t 2
\nthe coming into force of the Woiflgj    f
\nin 1995, quantitative rest:ri(:tionsiko;o’wn as”5’F;’ii:1io1ti’ii;\u00a3oota\u00a7”‘
\nin the bilateral ag1eementaiiii’vieViwe_’ohai1geic:I ‘iontig-;1*iit11e
\nrelating to Agmemeggfgm aiiidtolotiiingg (ATO). The
\nquotas also  l’mow-11    are allocated
\namongst  ivsirllich a system of
\n   so aa to optimize the<\/p>\n
export reveiitxe fiat.’-7_r”  ‘”‘”r\u00b0–“t “f toe country. ! t i-..<\/p>\n
stated that in  the said aim, the Governme” t *f<\/p>\n
h1_c1ia  policies time to time Icnown as “Export<\/p>\n
.,’:t_jI\u00a7i3nt;itie331entii i(i()1w-ta) Policies” and allocations of quotas are<\/p>\n
i *   ifdiolie under the following categories in case of<\/p>\n
it A V  gmments:\n<\/p>\n
 ” a) 70% quota based on past performance of the
\nexporter under the Past Per\ufb01*\u00bb”in’anu=- en\ufb01uement<\/p>\n
l DDR1-\n<\/p>\n
‘; a .4’,<\/p>\n
b) 15% quota based on new investments made for<\/p>\n
fir’?\n<\/p>\n
t<\/p>\n
\\<\/p>\n
modcmiza\ufb01oli of machineijr ‘”‘d”i’- the<\/p>\n
=—–::\n<\/p>\n
I<\/p>\n
E<\/p>\n
c) 5% uncler Non-quota L\u00e9_)q;1o3’ti_  ”<\/p>\n
.-u-u–c.-u-sl~:-u  3-an. ‘ _..i’I’I’Il’|:
\nI .rhw1_ _<\/p>\n
7 , – _._ ..1_–_..__1:’._… ….. _ . ‘
\nI CUU. 8 (.1 V 1 LI ‘uti u g_c set.’ uuuu uwta
\n\\ ..u.1t1’ies.,<\/p>\n
d) 10% on  Come’  i(iFVC3F’SV) to provide
\nequal oppo1*tu”uii:ie*v.3_vifio  on h”””.-to “f High<\/p>\n
‘F:-1.1113: _’e9__’I_i9\ufb01.4.-inI”\u00ab.-<\/p>\n
The    is  in exercise of power\n\"   Trade (Development\n<\/pre>\n
a11t’i.e.ARegu1V:\u00e9itiioi:sV).\u00bb:1’s*::t; (No.22 of 1992) and Item No.8 of<\/p>\n
Appendiixc-A!  ITC. (HS) Classi\ufb01catzioli of Export<\/p>\n
g;.:\u00a21 Import.” under the Export and Import policy. It<\/p>\n
.l_.r t._ i1_1p1_._ .111; the policy, an<\/p>\n
 Genemi is desiglated as Quota t’\\cim:’u1:ister1n’ g<\/p>\n
 _ tLA1it}1o1ity, on behalf of the Government, responsible for<\/p>\n
”  oilocation of quota in terms of the policy. The availability of<\/p>\n
quota, it is said, vastly over strips the demand and n1 view of
\nthe restricted availability, oonnnands a premium. Major<\/p>\n
importers of textile ganzients being the quota c:ou11t:ries,_ it is<\/p>\n
UK<\/p>\n
<3'!<\/p>\n
es"-=11t.ial to ensure quotas 9…, 1v 1 ti' –~\u00a3_m;::.. not<\/p>\n
allowed to 0 Waste ('re to 's""oti.:~–t'.Es-f\u00e9–:'..v \u00a2*1"ad7in" 'av <\/p>\n
unscrupulous elements and therefore, jthe ..euvieages '*<\/p>\n
utilisation of the quota by \u00a7O'h 'Se\ufb01ember
\nyear and failure to do  isrkizvetttliltzd
\nsunvencler the quote'; of unut\ufb02ised
\nquota allocated in  the manner and
\nprooedule     Revalida\ufb01on of quota<\/p>\n
11.-e,..n..\u20ac  “semi upto 31″ December of the<\/p>\n
‘av<\/p>\n
TE1T3″*?|i’1’t” y~”f’?’   Va ._.:-:-.12.. gI…,.1..11t.e.. -1′ 9. \ufb01_,ed_
\ndeposit leoeiot  \ufb01raft Whii’ the pohoy “1 o””r”‘a’*11
\nthe   exporters cover the amount of EMD
\n  kzttex’ of ‘i~.\u00a3”.’.1′.’1C1’tBl{‘iIlgj or post dated cheques. The
\nC\ufb01litliil\ufb01t\ufb01ill’ for forfeiture is that an exporter who
\ntjhotvtess than 90% of the export entitlement, its EMD
\n‘.\u00e9.ha.’ivl.;bexs1eleased in full. In case of utilisation upto 75% of<\/p>\n
fast” moving items and upto 5&6 in case of slow moving<\/p>\n
1+n1*nc I-‘0’.\n<\/p>\n
-I-3<\/p>\n
3:3′<\/p>\n
Jr:\n<\/p>\n
is \ufb01arfeited. L1 pmportioh to the shortfall of<\/p>\n
11 If are .,…,,~…. 3 uggieveu by ..ny order 9.<\/p>\n
raises aimost identicai co11ie13,\ufb01” is Hf.-‘is  iiii=’~}’i;\u20ac””‘eed
\nRespondents 1 and in tliei1″~A.ii_Si.eife1i1enti iofeeoiijectioiis. in
\naddition, it is eonteiiicilecii ‘f}is.~!ci’it.3;1e having taken the
\nbene\ufb01t of? .tAl:ie–.-_    eniiiilement policy by
\n\ufb011nJis11i1i’giii’Ve.V  \ufb01iieielitee  failed to
\nga1’1:ieI1ts;”A~ ;i’:’1ietmeji.i\u00bb   provided. cannot be
\n “a1id’ire1J1’obatc. It is stated that the<\/p>\n
mtitioiieriiie, eetop’gmd,;i_rv.m ..-nt..11_i1_1g that no amount could<\/p>\n
iz\u00e9e fo1’fei’fe(i. ” =’.F’11* f’frth”r c’*11’ceI1t:1’*11 of We ‘1’” 1*”-W”-4e ‘t i<\/p>\n
 –. that the. e\u00a7:por’rer did not Jiaee fefvaiat “*”t”1-“”” ‘*1 5″”-‘”11.
\n .v %  .___ 1-‘<\/p>\n
Vgf ifs:’;3\u00a791;1′;’aii.’;’ of fome-majetme.<\/p>\n
1′ 5. Learned oounsei for the petitioner ec’:v””-s the<\/p>\n
a) that the ‘Policy’ providing for forfeiture of the
\nearnest money deposit. in its entiiety, for exports less than
\n75% and proportionate forfeiture for exports between 75%<\/p>\n
\\J
\nU\\<\/p>\n
‘P<\/p>\n
and $}’& under the F-‘irr.t. meme Fimt. SP It  <\/p>\n
irratzioizial and umeasonable.\n<\/p>\n
b) the appellate authoiity   -.\u00a2:i’1’oi’V:”ei1i’x<;1iot .<\/p>\n
consiclering the doomnenttmjy evidence proxlnioed  the
\npetitioner in support. of the, of .i'o'roe&\u00bbn1E:jei1i1\u00e9, Whiie
\n4,:_.__4.:__ 1.'… – V i " if
\nCIIIDU lg lull luu .I_— l.lJ.\n<\/p>\n
..-\u00a2…… 15:’. I-‘rue EMEL  <\/p>\n
c) that the  garments uptao
\n58.6%: of th-s.\u00a7;;33o1*i;; eutitiemeii\ufb01._t11e”:no11-ful\ufb01llment of the
\nobligation iarssiI;11ot”due ‘to wiilfial  on the part of the<\/p>\n
petitionerhut Jwasutfort  beyond its control.<\/p>\n
 .;s.,%*1′-11.;-;ee;g.1:\u00a2r%ae\u00a2imqns in apnea1_ s involving identical
\niss11es=.gxnd icleliticai of facts, the authorities having<\/p>\n
a;:cepteciu”th_e elejguepfiiome-majeuie, cannot 1BfuBC to accept<\/p>\n
. gpetitioneiis’  of tome-majeure, in the fact situation of<\/p>\n
‘- i this  <\/p>\n
V.  r:_1_t.ra_, _1ea_med Senior counsel Sri. G.L. Rawal<\/p>\n
fGi’i:.’1a’;S””‘;}de31t No.3 mnt.e1.c1-s. .11..t the r_:1_u_a_1_nge to the<\/p>\n
it   is unavailable to us pet:’u.’r”-T as the gar.-.r.ents<\/p>\n
exported tell short of the quota ailotted to it within the
\nstipulated. Accoxtling to the learned Senior oounsel, in<\/p>\n
terms of the policy, the petitioner was fully aware of the
\n\\ J<\/p>\n
U'”\\<\/p>\n
\\D<\/p>\n
ca-315:-;q-dense cf }.’I’JI%Z”!”.’.O!1|.9.t_E foifeitnne of  fg__u;i1ia_nbee<\/p>\n
on faiiuie to “i*’t ‘Tn-“in’nt’ ‘mte 9m{~..bei.t”‘hnet-lees \ufb02ies;
\nP _  . _ V ><\/p>\n
mu’ 4 “I-‘ I ‘-  _\u00ab_<\/p>\n
75%, and forfeituie, in  u
\nhaving accepted the said teiine, itdiei_ni’gued._V
\nto contend that the policy  ash’  toifeituie
\nis either irrational   i~.ean1ed”Sei1io1* counsel
\nfurther contends   over the<\/p>\n
validity of; tinted   in the case of<\/p>\n
pleahill the .deeisid1i_.iepQi*ted in AUU<\/p>\n
Lea1ned””~.SenioI\u00a7_ enuncaiei, in addition, contends that the<\/p>\n
  not laid ielevant material constituting<\/p>\n
   legal evidence of a claim of force-majeure, the<\/p>\n
  “rightly oonsideied and rejected the said plea.<\/p>\n
Lastly  is contended that the petitioner having expoited<\/p>\n
A it ignnnents upto 58.6%\u00bb of the export entitlement, the<\/p>\n
autiieiides we}- jI..st:i.\ufb01-.1 in clnecting forfeiture of the<\/p>\n
7. Sh. Devadass, learner’ ‘~’-“”1″” f’I”*’-mi -9-<\/p>\n
Respondents 1 ans’: 2 C T] d’<\/p>\n
secured an allotment of a quota   o_.n(ie1′ ”<\/p>\n
the policy. without questionillg t1ie._te:ms :?Jlz1VV’.oot1ditioi1sV:of
\nforfeitme, cannot be   Vleprobate
\nby calling in ques\ufb01oljfthe  oltezeshort export
\nof garments.   counsel, quota
\nfor expo1’t\u00a7’oi”  an exporter. it is
\np. osu\ufb01il  tjtot1–l;1’Vdischa1~g;e its obligation to<\/p>\n
eiqio-1*t    ‘*e”*ii-“tn an t.t.-W’<\/p>\n
ensi13.esuoi1.,f:he  “‘1fu.i.T1g ‘ u: e<\/p>\n
forfeitute..of”tl1e’v._ai1\u00a2o1i}1ts from out of’ the bank guarantee as<\/p>\n
.. t1;eIeili”e.’2.I2:.r:ot be characterised as either irrational or<\/p>\n
.   ualretiistiiitatble. Learned Senior oounsel hastens to add that<\/p>\n
” . H   is peculiar in its nature since quotas<\/p>\n
 for each county. under the policy is to maximise<\/p>\n
AA ‘ tforelflgu exchange. The Government, aoooltlisng to the learned<\/p>\n
SA.-.;1:r.i-:,-I counsel. is we\ufb02  its rigt to provide for<\/p>\n
53.;\n<\/p>\n
forfeitraie of “M D-“1: maaaantee, so as to ensure -….I” an<\/p>\n
t<\/p>\n
K) \\<\/p>\n
EL<\/p>\n
ulaximum uiili””‘”i ‘f the qaata and ‘mat is. :;;’.v.i.$3,},r”%.:er_;-.t<\/p>\n
has been done.\n<\/p>\n
8. Having heard t11eplea1’1iec_1  <\/p>\n
*1′<\/p>\n
wt.’-user} the pl:-;.=:.d1_.-g-.., .he13_Vpe&\u00ab3; be  meIe_’dispute”‘that in’<\/p>\n
terms of ‘the “‘P01i<':.3r",—-, tiie wti\u20ac?i.*i3,ei~..a**p1ia=\ufb02,e1v\u00a7(J1iA.:ind $911.. -..<\/p>\n
'-.—' A …_ .. 4.\n<\/p>\n
an export entitlement’quota,ui1\ufb01e15 if ‘~, no expe\ufb01 gai-in ms<\/p>\n
and having  tcg}-:15 he    iihe: specui’ “ed, in its
\ne11ti1wety,:.11a:btii\u00abf.;f::3’caviliii1g upon the petitioner
\ntoish.-mw eliould not be taken to forfeit<\/p>\n
thei’:,_ molzievsiufrpimpp _ of? bank guarantee, which was<\/p>\n
iespexidecl   ~tJie’–..e.iipe\ufb01\ufb01one1*. The AEPC, not being<\/p>\n
,,  eiiplaliation o\ufb01’ered, forfeited Rs.1,48.854]-<\/p>\n
i””appg\u00e9ai-liefore the  Appellate Comniiiztee, steed crr’uu- eu<\/p>\n
 .. Vi  ciicler dated 10-05-2002 Almexure-“F'”. while the further<\/p>\n
0′   to the Second Appellate Committee was dismissed by<\/p>\n
oltlezr dated 26-10-2004 Annexuive-“H’\u00b0’.<\/p>\n
9. In the admit.tec”l facts noizieeci supra, ‘Le q”esti~as
\nI-‘—-. —1——-L-1 awn.-5’:-:-no-n.|-Ir I311: &
\n101 u 1.21 11 u.u:uu.u5 nab, r-L<\/p>\n
12<\/span><\/p>\n
a) whether the challenge to the     it<\/p>\n
relates to forfeiture, for ‘t e Aexpiort, <\/p>\n
o’o'”‘g- tfrn withiii the tiife stiy-base<\/p>\n
1:.) Whether the AEPC’.-..a.nd ithe”‘Appe\ufb01et\u00a7
\nwen: jus\ufb01\ufb01ed in Iejeothig  claim of<\/p>\n
fo1t:e–majeI.m=;.  \ufb01e ‘\u00a3’i1j3″pcu1:’ “5?<\/p>\n
10. 1ndi_s.putabA1y,.Vi;he e$\u00a7p;;:t”e1iti\u00e91gm1ent quota allotted<\/p>\n
ya ‘Inf…–.4.-.-…\u00ab.. ..-.I-I-.—‘—.—.——- —- _’_–.–…………_V – _
\ng”-‘m”nt.~=:-. “‘1t”r_uu'” a ‘*-‘M ssipalah;-(4.. and …:311’.ehe{‘. a b….=-\ufb01k<\/p>\n
gueiehtee;  that in case of faiitre to
\nful\ufb01iithe  in its entixety, would be subject<\/p>\n
to.forfeitit:eio3a1Ese”of  ‘Policy’. The petitioner consciously<\/p>\n
 to  “terms of the forfeitune that if it exported<\/p>\n
V  : heyond 75% upto 90% of the export entitlement, it<\/p>\n
   liable for proportionate “forfeiture and if less then<\/p>\n
gforfeitule would be in full. fmm out of the amount in<\/p>\n
the ..9.11.. gu… ._11t..e -1-.. -_1_._..n_t of the petitioner to be
\nsuojeoteo t’ \ufb01r ‘”1315 *3’ the “‘*”**y, reiatmg to foatfeituae in<\/p>\n
the event of fiaiiure to fuJ:l1u’ “” the export entitlement, in the<\/p>\n
circumstances, c:a1111ot be permitted to approbatc and<\/p>\n
pleat
\n‘U \\<\/p>\n
mpmbate -101’ assume iae-‘n–‘5’-=nt. “‘””‘t”i”ns. F” *’*”  “._f’ –<\/p>\n
been ulisuccnessful in the appeais bef3’it:=   7<\/p>\n
Second Appellate Committeee,   A <\/p>\n
questioning the validity of ti1e__fo1ieiture clause  the <\/p>\n
1 1. The coiitentioli “ternie of forfeiture are
\nirrational and 11n1easioi1a3VJ1ei’v*iii  is beyond
\npale of eoiiais1e1*a.tio1itiiii    the entire policy of
\nallottingf ” the of augmenting foieign
\nis  for the couiitry and as<\/p>\n
a gannents under the quota <\/p>\n
hi<\/p>\n
u o ‘- e ‘ n a  u . . . .\n<\/p>\n
‘1 I H\u00bb I I 1- F _
\nB }l}’;wI”E?’.5u.:”v”-‘3 331C’:  1′?-.’v5}t:} 1.115 \u00a2’3’|’v”\\”‘}”v’\u00a7”s\u00b0’.\u00bb{\u00a2 ‘”‘v.}’\u20acC:. G1. ‘:H SH}g<\/p>\n
fiie u”ti1isatioi1~Qf the quota, the  provides a eiause for<\/p>\n
 .,fo1’fTeitu1e,:i”The Central Govermnent entitled to formulate a<\/p>\n
 ~. .ba\u00a7\u00a7e\u00a7i on precise timing and nianner of<\/p>\n
iinp1eine;itation of the quota to achieve a particular objective,<\/p>\n
it A ;1_no1e”app1op1’iate]y in the matters of bilateral trade, in my<\/p>\n
i'”D13iI1iD]1,, being peculiar in its nature, the Government was<\/p>\n
well within its rights to provide for forfeiture and therefore,<\/p>\n
cannot be ternied a_ id; 3’ Ilrrational or nn-e,ne.titntiona_L It<\/p>\n
Iiiugt be b9}}}3 -in ‘li’l’:’l’ll’l fhnf 1- 1311::<\/p>\n
subject to juciiciai review. unrss d’:ne:-fefcffatef’ .  he <\/p>\n
czontiary to statutory pmvisione__o1\ufb01.the Coiie\ufb01tntioiiti i  ”<\/p>\n
well settled law that eotut-3,  eieioi\ufb01 of
\nwill not transgiess into the of   as tlieir
\nare 1’11 equipped to Jeg\u00a2iud:a\u00a7\u00a7\u00a7\u00a7 ~-.polir:\ufb01V’At1eeision. The
\ncourt, no–dout)t has at   undertaking of
\na decisioii,” Ji.-5:: 1Jeople’s fundamental<\/p>\n
ri’*hte am not. t;-“9.n;-=2;-,,i:’es.g.—.,E u}.I;in except to the extent<\/p>\n
snag’: of we , cum in the ease of GO.’-{ALDAS zwmees<\/p>\n
LIMI_TED,i:Vive, UNION OF INDEX in W’.P.No.853′?Ii2003 and<\/p>\n
 petitions, by order dated 12-03-2003,<\/p>\n
 the contention that the policy pmviding for forfeiture<\/p>\n
 * : ,en<i''iinposit.ion of penalty for non-ful\ufb01lhnent of the obligation<\/p>\n
it  'tinder the export quota could be challenged by an exporter<\/p>\n
who had had the bene\ufb01t of a policy, following the decision of
\nthe Apex …4:.-1.1. .. ii the ease of PTR Exports (Madras) Pvt. Ltd.<\/p>\n
"id Gtirr" 'J3. Union of India and 0*" \u00bb 11- Pd. in IR<\/p>\n
menu; -1 atrrriwa -w – _<\/p>\n
l<\/p>\n
19" SC 3461, L1 .1.e 1natt_.1' _f i__t_,,,re11ce eomts
\n11-1 1' ,, ,;.LA_.__ 'I_.._ ..1__..__.._….. 4.1.'–.-u
\nWltfl PO Cy 1118 '.5, U1: V1115 u1uu
\n"-4. An ajeplieant '*1…-=ew__1i'<3eV_'*.'e..-emit; 1'~ig:2t <\/p>\n
have export or i1npo'rt"-.l_Viceno'e.a in ter1I1e]oif the
\npolicies in force at "e:e–, date '-of  iziaieing
\napplicatiozu. For obvioiu-9 reaao11"s,._g1'a11ti;11g of
\nlicences depetidg upoii'   prevailing' on
\nthe date of tlie grant of .the_"1ibe11ce or permit.
\nThe authority cc.ncet1ied'  in a better
\nmeiti.4:.r11._ to ha.ve._the 'overa1I'v1pic:t1;ue of diverse
\nf\u00a3iGtO1_.'?.'."t1'} giant _"pe1'.niit"-..or' iiefuse to grant
\n  _'or"e\u00a7'.-'- "rt. "NV" The
\ndeeieio.1i,"~t11e1efo:?e,"~svo'\u00e91ldV_'he talcen from diverse
\neconomic pet's_pectives"'Which the executive is <\/p>\n
SKI'-I'-aluii I<\/p>\n
~-1-at.bet.te1*"'1ig11'o1'*zned poei\ufb01oii unless, as we have<\/p>\n
stated_..ee1'1ier,.'the refusal is mala \ufb01de or is an
\nabuse 'of"the.e,powe:' in which event it is for the<\/p>\n
 applicant' topic;-;td\u00ab.n3ind prove to the satisfaction<\/p>\n
r.;-{the (.Z'.Jt'_=I_.11*i:,th:.:1't'._.'e\u00bbtl__1_e refusal was vitiated by the<\/p>\n
— . above’ feature;\n<\/p>\n
‘ v i <\/p>\n
5, itmereuldg tlieiefore, be clear that grant<\/p>\n
  depends upon the policy prevailing as<\/p>\n
fee” date of the giant of the lioenee, The
\nCowft, therefore, would not bind the<\/p>\n
V_ > \ufb01ovemmerit with a  which was eruzisting on
\nH  the date of application as per pmevious policy. A
\nV prior decision wouid not bind the Government<\/p>\n
for all times to come. When the Government. are
\nsatis\ufb01ed that change in the policy was necessary
\nhi. the public interest, it would be entitled to
\nrevise the policy and lay down new policy. The
\nCourt, ‘dizerefeze, ‘=.=.=-cu’.-:1 11-zefer .4.) allow free play
\nto the Government to evolve \ufb01scal policy 1’11 the
\npubiic interest arid to act upon the same.<\/p>\n
Equally, the Government is left flee to determine I<\/p>\n
UK<\/p>\n
pun
\nCh<\/p>\n
pitiorities in the $.33 of 9.lL.”(‘..”-‘.’._”.’J:..”‘L.’.l.”1S’>  \u00abM
\nallotments or utilisation of its \ufb01naneee’ in-tdhe” e  ‘
\npublic interest. it is  entitied; .-\ufb01erefere,
\nto issue or withdraw or the _.expr);’t 01’} ..
\nimport policy in accordance ,with \u00a5\ufb02:1e_ scheme 1, f
\nevolved. . . .”   ” –. . ”  V\n<\/p>\n
13. In yet another decteion of a  Judge of
\nthe High Court of Delhi .\/1;nagee'”Liinnited supra.
\n2007(7) STR 347(OE\u00a71)v’d’teei{__’Vtt1e tljat garment export
\nbeing   natnle   of quotas being<\/p>\n
pmvided theeacl1″–c.o1i;;t:-y’,’—-tla- ‘Gr_’wv…nm_nt was well within<\/p>\n
u\ufb01li\u00e9aation of   which cannot. be inue 1 ieu “‘it.h.<\/p>\n
Hayring  the et1a~_t’i1V’e”ttVtext of the judgment, i find no good<\/p>\n
 to dewirxivate–\ufb01rom the masons. \ufb01ndings and conclusions<\/p>\n
V    \u00a31t:}\u00a7y.the learned Judge.\n<\/p>\n
‘ ,.    The contention of the learned counsel for the<\/p>\n
2 ~  ‘d gpetzittionel’ that the order of the Second Appellate Committee<\/p>\n
Smqnfn Fr’:-r I1fl1}–lJl;’I*’Qi’Ie<\/p>\n
\\.u.na J\\.l.l ….. …… 7..J:L_1_ _\u00a3 __.evnnt grounds of appeal<\/p>\n
_.1-_
\n1<\/span><\/p>\n
and non assigning<\/p>\n
say so because, the petitioner whiie responding to the eirw<\/p>\n
\\Ja
\nU”\\<\/p>\n
cause netiee issued by Le AEPC, e_ve_ee::I”‘ti1e~.._ple:;1 “-of<\/p>\n
of fabzics and change in style  i3iei;:?uete\u20ac’i._by4’tl1e__l:$11yeIs ”<\/p>\n
resulting in change of category  <\/p>\n
were coneideaed and  “‘t.11_e  in its
\norder dated 1- 10-  ln tllievletter dated 18-
\n11-1999 Axinexule-“[A)V’_”V_eii,;V:leeilIlViV;;   of appeal to the
\nFirst   plea was urged and<\/p>\n
mjeeteg: b},r.;-4.r’;~._\u00bb..1″e.”‘—\u00ab_i.;=I.’t.., . IQ.-Q5-‘\u00a3L?.()O2 Annexme-“F”. Before
\nti:-1’$5?;~*”%\u00a7’.A1\u00a7\u00a7\u00a7el!ete’VV.:’Cnmmi*’ee. the apmn’ .1-:1<\/p>\n
titionei’ i1l.tl1’e”1 “uiiecli feiirrt is “”6 uu uv C” the vex”<\/p>\n
same pleas.”  petitizinel’ however, did not produce a copy<\/p>\n
  eeid  \u00abalong with the writ papers. The learned<\/p>\n
V  i’  for the Second Appellate Committee submits<\/p>\n
”     inaintainecl by the said authority does not<\/p>\n
 lithe \ufb01ling of the appeal in a required format, except<\/p>\n
At ‘T ‘for  letter. Thus, it is\\not known es to whether the Second<\/p>\n
  C___n_1_ittee oensidered the letter addlessecl by the<\/p>\n
]’iEtiLi”‘iiE}’ a” an am”-‘=’ er en the basis 91′ fe-met -f ..1;.rpe.a_l<\/p>\n
allegedly med by the petitioner. bk<\/p>\n
the plea of shortfall in export   ‘*<\/p>\n
Ieoeipt of fabrics.  for   jio\u00bb
\nunable to place material to
\nin style by the  as
\nhaving been   In addition,
\nlearned    any material placed
\nbefo–   Committee over the<\/p>\n
I.l’\\a.J\\.n<\/p>\n
sari “f ‘*-lrfnge  by t’;’~.’e’h–v 1*. Memly ad.v;-‘-_11_.’_11g a.
\npleafis inauii’1<':\u00a7.ent;' vasf petitioner W"E r""'aii"ed to ""-ee<\/p>\n
1e_leva11t'"1natenalV'  eonetitu\ufb01ng substamltiai evidence over the<\/p>\n
._i)ie.e  not done so, no exception can be taken<\/p>\n
V   to "the  of the authorities, rejecting the plea of<\/p>\n
   of fome–majeu1e conditions. In these<\/p>\n
 it cannot be said that the order of the Second<\/p>\n
At 't 'Appellate Committee is not a speaking order or that there<\/p>\n
16. The last wnten\ufb01on t…!.=.- Le be\ufb02e  ngiesi bv<\/p>\n
the authorities in identicai  .._  <\/p>\n
cases. were not appiied in the fnesent  .is’–.oisovv.,i\ufb01thT”A’ut ”<\/p>\n
any 1nen’t. I say so because, claim of oVfo\u00a21oe?1naj’\u00e9;ui*c is:<\/p>\n
dependant upon facts of
\nevidence to establiss’h;_f11e  ~-such’ eonoitiolls. The
\npetitioner has not   that in identical
\ncimumstance?.\u00a7\u00a7:VZ\ufb021\u00a7  I the claim of force-<\/p>\n
  bene\ufb01t of the claim of<\/p>\n
f”nf3e-inajeiixe “7\u00a7.’.ei.’.’1?*~.2″*.’;e1:-:a:”i.’:’1Ii.=;1.I.t. noon the facts and
\nci1cu311stances’ai1ci’Tn1Eiioseri,nl on nr-.r:”i’d “” a “‘””r.i’=i.ik1* re-“se. it<\/p>\n
goes without  \ufb01hit any decision rendered in that case,<\/p>\n
 not. nnleae-\u00abfacts and circumstances are shown to be<\/p>\n
_ A   nave application.\n<\/p>\n
V * : ,:nejeo’ted.\n<\/p>\n
 ‘This writ petition is without merit and is accordingly.<\/p>\n
I<\/p>\n
$6.!-=
\nJudge
\nKS<\/p>\n","protected":false},"excerpt":{"rendered":"
Karnataka High Court Federation Of Karnataka Chamber … vs Hubli Electricity Supply Co Ltd on 13 March, 2008 Author: N.K.Patil \ufb01\ufb02 mm Houmusz nun. .1u3’r1cn mr.s % wnrr PETITION No. “fr B _ ms AMRITSAR swApE’sHi%i.wdLLE’NvAA–!\u00a7i:LLs A PARTNERSHIP FIRM H.~sV1Nc3’L.1Ts I .. AT” NG.67;4A, SNVDLISTR-lA!,.. SUBLIRB BANGALGRE 360 022 ._ ‘- REPRE$E’.’\u20ac–‘:E’E,\ufb02 3″: n*s1;.%im;I*:*14.–r.\u00a7:-izsen REp1msE:uTA*::’:3zE […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,20],"tags":[],"class_list":["post-62757","post","type-post","status-publish","format-standard","hentry","category-high-court","category-karnataka-high-court"],"yoast_head":"\nFederation Of Karnataka Chamber ... vs Hubli Electricity Supply Co Ltd on 13 March, 2008 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/federation-of-karnataka-chamber-vs-hubli-electricity-supply-co-ltd-on-13-march-2008\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Federation Of Karnataka Chamber ... vs Hubli Electricity Supply Co Ltd on 13 March, 2008 - 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