MOHAN MACHINES LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner in these proceedings Under Article 226 of the Constitution of India has challenged two orders dated 30.7.1996 (hereinafter called the adjudicatory order) and the order in appeal dated 12.2.1997 by the Joint Director General of Foreign Trade (hereinafter referred to as the appellate order) directing it to deposit payments.

(2.) The petitioner in terms of a World Bank project, had to supply 21 Stainless Steel Road Milk Tankers and 2 Milk Storage Tanks to the National Dairy Development Board (hereinafter called as NDDB). For this purpose it was issued a Special Imprest Licence No. P/L/3079918 on 22.10.1984 for importing stainless steel sheets weighing 36710.62 kg through the Canalizing Agency i.e. Steel Authority of India Ltd. (SAIL). On 20.8.1985 the NDDB cancelled the order for 5 Road Milk Tankers thereby reducing the quantity to be supplied by the petitioner from the original 21 to 16. It was, therfore, left with unutilized imported stainless steel amounting to the extent of 8049.167 kgs.

(3.) On 27.4.1988 the petitioner requested the Chief Controller of Imports and Exports (CCI and E) authorities to adjust the balance quantities in respect of the earlier licence (hereinafter referred to as "licence No.18'') for which excess, unutilized quantities of 8049.167 kgs were shown as shortfall in the second licence. On 27.10.1988 the authorities informed the petitioner that its request for adjustment of quantities, as sought for, had been acceded to.