Case Law Details
M/s Kanak Exports Through Its Proprietor Mr. Satish Bansal Vs Union Of India And Ors. (Delhi High Court)
The issue under consideration is whether the imposition of cost of one lakh rupees on an exporter for the blatant violation of the Duty-Free Credit Entitlement Scheme (DFCE) is justified in law?
It is observed that the decision of the Gujarat High Court in a similar case of Adani Exports Ltd. Wherein the High Court concluded that the main purpose of the Notification dated January 28, 2004, was to prevent the transfer of the export orders from one group company to another company belonging to the same group in order to show the enhanced export performance of such another company and, therefore, it was clarificatory in nature.
Hence, High Court rejected the submission of the petitioner therein that the Notification or the Public Notice had the effect of the taking away of the vested right of the petitioner, stating that they merely sought to exclude exports which were never intended in the first place to be covered by the Special Scheme; misuse of the said scheme by mere paper growth in exports is not to be countenanced. The petitioner certainly could not have been allowed to re-agitate its eligibility under the Scheme in the guise of a fresh/revised application after the judgment of the Supreme Court and subsequent dismissal of its Review Petition.
Therefore, merely because the respondents have granted some relief to M/s Adani Export Ltd. or have not made any recoveries from it, cannot entitle the petitioner, by itself, to claim benefit under the DFCE Scheme in spite of the clear and categorical judgment of the Supreme Court holding it to be not entitled for the same. Accordingly the petition is dismissed.
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