ASHIMA LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule. Mr. Vakil, learned Counsel appearing for respondent No. 2 waives service of notice of Rule. Mr. D. N. Patel, learned Standing Counsel, appears and waives service of notice of Rule. With the consent of the parties, the matter is taken up for final hearing today.

(2.) The short facts of the case are that on 14-11-2000 respondent No. 2 issued notice to the petitioner to show cause as to why the penalty of Rs. 9,14,520/- should not be imposed upon the petitioner towards non-utilisation of the quota extended for shipment during October/December, 1997. The petitioner submitted the reply to the show-cause notice on 11-12-2000, and contended, inter alia, that the petitioner could not utilise the total quantity of extended quota as some of the buyers had at the last moment cancelled their orders and some of them failed to open covering letter of guarantee for orders placed by them. Ultimately, on 12-12-2000 the order came to be passed for forfeiture. The petitioner carried the matter before the appellate forum and the said appeal came to be rejected as per the order dated 4-1-2002. The petitioner also preferred appeal to the second Appellate Committee, and ultimately as per the decision dated 16-8-2002 the second Appellate Committee also rejected the appeal and under these circumstances, the petitioner has approached this Court.

(3.) I have heard Mr. Nanavati, learned Sr. Counsel appearing with Mr. Tushar Mehta, learned Counsel, on behalf of the petitioner, Mr. D. N. Patel, learned Standing Counsel for respondent No. 1 and Mr. A. S. Vakil, learned Counsel for respondent No. 2.