(1.) HEARD the learned Counsel for the parties.
(2.) IN terms of the Foreign Trade Development and Regulations Act, 1992 (the Act) and schemes formulated under the FEMA, the petitioners had availed of various FCFS licenses/benefits. The terms and conditions of such licenses were that the applicant/beneficiary had to export and realize the consideration in a time bound manner. To secure compliance, the licensee had to furnish bank guarantees for various amounts.
(3.) THE Apparel Export Promotion Council (AEPC), the quota administrating agency, considered the petitioner's documents in the first instance and concluded that there was no fulfillment of export obligations by it, rendering bank guarantees liable for forfeiture to the extent of Rs. 8,79,867/ -. The petitioner preferred an appeal; the first appellate body by its order dated 31.3.2004 partly allowed the appeal and reduced the forfeiture amount to Rs. 5,39,919/ - The petitioner preferred a further second appeal to the second respondent. One of the main contentions before this body was that 5th quota certificate had not been allotted to the petitioner; if the quotas reflected in those documents were excluded, the petitioner would be deemed to have exported 92% of the total quota requirements entitling it to full refund.