VODAFONE ESSAR LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule, by consent, returnable forthwith. With the consent of the Counsel and at their request, the Petition is taken up for hearing and final disposal.

(2.) The four Petitioners before the Court are corporate entities and provide services either as Indian Access Providers (IAP) or as International Long Distance Operators (ILDO) in the Telecommunications sector. The Petitioners applied for Duty Credit Scrips under the Served From India Scheme (SFIS) of the Foreign Trade Policy for 2004 09. The benefit of the scheme was allowed to the First, Second and Third Petitioners, while the application of the fourth Petitioner is pending. The challenge in these proceedings under Article 226 of the Constitution is to a Circular dated 15 July 2010 issued by the Office of the Directorate General of Foreign Trade and to several notices issued by the Zonal Joint Director and by the Joint Director General, revoking the benefit granted to the Petitioners. Since the issue before the Court arises out of the provisions of the Served From India Scheme of the Foreign Trade Policy for 2004 09, it would, at the outset, be necessary to set forth the salient aspects of the scheme.

(3.) Paragraph 3.6.4 of the Foreign Trade Policy comprises of the provisions of the scheme. The objective of the scheme has been laid down in paragraph 3.6.4.1 as follows :