VAAS EXPORTS Vs. UNION OF INDIA

JUDGEMENT

(1.) THESE three writ petitions raise similar questions and are accordingly being disposed of by this common judgment.

(2.) WRIT Petition (C) No. 1914 of 2004 is by M/s. Vaas Exports which is stated to be a partnership firm exporting different kinds of goods and, relevant to the present case, wheat in bulk quantities. The second writ petition W.P. (C) No. 5704 of 2004 is by the All India Grain Exporters Association which is a society registered under the Societies Registration Act, 1860. The petitioner in the third writ petition W.P. (C) No. 3606 of 2004 is the All India Chamber of Commerce and Industries which is again a society registered under the Societies Registration Act and the members of which include those carrying on the business as agents for import and export of all kinds of goods and articles.

(3.) THE three petitions make a common grievance against the Food Corporation of India ('FCI'), a respondent in each of the petitions, for unilaterally increasing the prices of wheat and rice and making the increased price payable at the time of the delivery of the stocks irrespective of the fact that the contracts for lifting the stocks at a lower price had already been entered into with the buyers and the entire sale consideration had also been deposited previous to that date. It is claimed that based on such contracts, the buyers had already entered into further contracts with foreign buyers and not being able to rescind those contracts, they had to incur huge losses. Accordingly, it is contended that the unilateral revision of the price at the time of delivery, is arbitrary and violation of petitioners' rights under Article 14, 19(1)(g) and 21 of the Constitution of India. Background Facts