JHALANI TOOLS INDIA LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Apart from other questions, the main question which falls for determination in this writ petition is as to whether the instant writ petition is barred by res judicata/con-Jhalani Tools (India) Ltd. v. Union of India structive res judicata. This and other related questions, the description of which would be given at the appropriate places, have arisen in the following factual matrix.

(2.) Respondent No. 1 announced export policy Resolution 1970 relating to export promotion for the benefit of industrial exporters. From 1970 to February 1981 prices of domestic raw material consisting of various qualities of steel for the manufacture of hand tools were more or less competitive with the prices prevailing in the rest of the world. However, on 9/02/1981 the Joint Plan Committee (here in after referred to as JPC, for short) announced a steep hike of 30% on the average in the administered prices of various qualities of steel. This led to the promulgation of the INTERNATIONAL PRICES REIMBURSEMENT SCHEME 1981 (hereinafter referred to as IPRS, for short) on 9/02/1981. However, initially Carbon Steel Billets (CSB) and Chrome Vanadium Steel (CVS) were not included. CSB was added to the list to which IPR Scheme benefit was applicable by Notification dated 17/03/1982 and CVS was added to this list by Notification dated 21/08/1984.

(3.) IPRS was introduced for protection against price increase. As per the IPRS, after the exports are effected, the price difference between its "domestic price" and the relevant "international price" of the items mentioned therein was to be reimbursed to the exporters. The detailed procedure for such reimbursements was also prescribed in the IPRS in paras 2.4 and 2.7. Para 2.5 and 2.6 explained "domestic price" and "international price" as under:- -