(1.) Special Civil Application No.3282 of 1999 is preferred by Adani Exports Ltd., a company incorporated under the Companies Act, 1956, which is engaged in the business of Frozen Shrimps and is also exporting Shrimps. In view of the EXIM Policy, the company is recognized as a "Super Star Trading House" in the State of Gujarat. The Government of India announced Export Import Policy for the period from April 1992 to March 1997 (hereinafter referred to as the Policy) wherein a Scheme known as "Pass Book Scheme" was introduced with a view to grant benefits to real exporters. The respondents took a decision later on not to extend the benefit as mentioned in the Policy as regards Duty Exemption Scheme and restricted the benefits with regard to allowable quantity of vitamin mixes and, therefore, the petition has been filed. Similarly, Inter Continental India, engaged in the same business as referred to hereinabove, the benefits were similarly restricted and hence it has also filed the petition. The facts in both the petitions are common and, therefore, both the petitions are disposed of by a common judgment.
(2.) From the petition it appears that the initial dispute raised by the Customs Department was with regard to rate of credit and not the allowable quantity against the export. Petitioners were claiming credit at the rate of USD 36/- per kg for Vitamin Mixes while Revenue was of the view that the credit to be given for Vitamin Mixes in any case cannot exceed USD 8/- per kg. In view of the order passed by the Revenue entitling the petitioner at the rate of USD 8.- per kg for Vitamin Mixes, appeal was preferred before the Commissioner of Customs (Appeal), who by order dated 15.4.1998 allowed the appeal and accepted the contention of the petitioners claiming USD 36/- per kg for Vitamin Mixes. Revenue carried the matter before the Customs, Excise, Gold (Central) Appellate Tribunal (for short Tribunal) but failed to get the relief. The appeal of the Department was rejected. Even before the Tribunal, an application was filed for stay of the order of the appellate officer. On 23.9.1999, vide an interim order, credit was given to the petitioners as per scheme i.e. 227 kgs. of Vitamin Mixes against export of 1 MT Frozen Headon/Headless Shrimps. The credit was given at the higher rate as claimed by the petitioners subject to furnishing Bank Guarantee of 10% of the value and Bond for the full value of the credit amount. The petitioners were given credit in the pass book at USD 36/- per kg. of Vitamin mixes on the basis of 227 kgs. of Vitamin Mixes against export of 1 MT Frozen Headon/Headless Shrimps. After final decision of the Tribunal, petitioners approached the respondents for giving credit for all the exports made. However, respondents have denied the benefit on the ground that against the export of 1 MT of Headon/Headless shrimps, only 0.027 kgs Vitamin Mixes is allowable and not 227 kgs. even for period prior to 1.4.1997. The date 1.4.1997 is required to be kept in mind as there is change thereafter in the schedule to the duty exemption scheme with regard to quantity allowable against export of Headon/Headless shrimps.
(3.) Reading the preface to the revised edition of policy, it appears that the Export Import Policy has provided stability within a dynamic framework enabling periodic harmonisation of national priorities with global changes. With the long term Exim Policy providing a stable policy matrix, the annual reviews take into account the advances made in restructuring the economy and the consequent changes that are possible and desirable towards the objective of trade liberalisation. As mentioned in para 4 of the Preface, a new Pass Book Scheme was introduced. Para 4 reads as under: