KELPUNJ ENTERPRISES Vs. UNION OF INDIA

JUDGEMENT

(1.) The two petitions dealt with by this judgment pose a question of metallurgy. The question is : what is the difference between 'alloy' steel and 'stainless' steel ? As might be expected, it has arisen in connection with an import licence.

(2.) The petitioner, M/s. Kelpunj Enterprises, is a partnership firm. It had a small scale industrial unit in the Industrial Estate in Trivandrum. On the basis of an Essentiality Certificate issued by the Director of Industries and Commerce, Trivandrum, the petitioner obtained an import licence dated 7th March 1962 from the Regional Iron and Steel Controller, Madras. The licence permitted the import of 'Tool and alloy steel/alloy steel strips/sheets containing chromium and nickel in addition to carbon' upto a c.i.f. value of Rs. 3,37,500. It was an actual user's licence, the goods being intended to be used for the 'Manufacture of all kinds of saw blades'.

(3.) Under the licence, the petitioner imported two consignments of steel from Japan. Their aggregate value was Rs. 1,61,728.92. Both the consignments arrived together on the same ship in February 1963 at Madras. Bills of entry were presented on behalf of the petitioner declaring the goods to be 'Alloy steel strips containing nickel and chromium in addition to carbon'. The goods were not released for delivery.