SUNIL PRINTS Vs. UNION OF INDIA

JUDGEMENT

(1.) BOTH these petitions arise out of a common order dated 28th December, 1989, passed by the Joint Chief Controller of Imports and Exports and hence both these petitions are being disposed of by this common judgment.

(2.) BY the impugned order, the Joint Chief Controller of Imports and Exports has levied penalty under Sections 4-I (1) (a) and (c) of the Imports and Exports (Control) Act, 1947 and has also debarred the petitioners under Clauses 8 (1) (b) and (d) of the Imports (Control) Order, 1955 for a period of five licensing years.

(3.) FACTS in brief, are that the first petitioner as actual user issued a letter of authority to an export house M/s. Abdullabhai Abdul Kadar, Bombay, for the import of OGL items in terms of Para 119 of the Handbook of Procedures 1985-88. Acting upon the authority, the said export house opened L. C. with a bank for the import of OGL items. When the goods arrived at the Indian port the petitioners failed to honour the letter of authority, resulting into non-clearance of the goods and the documents from the bank. The bank thereupon initiated proceedings and after obtaining the necessary approval from the licensing authority, cleared the goods and sold the same to the actual user.