KANUBHAI CHUNILAL JHAVERI Vs. UNION OF INDIA

JUDGEMENT

(1.) THE petitioner carries the business, inter alia, of importing rough diamonds into India and exporting cut and polished diamonds out of India. He is registered as an export house and holds export house certificate by the Chief Controller of Imports and Exports. The petitioner made request for endorsement of certain R. E. P. licences acquired by transfer in terms of paragraph 148 of the Import and Export Policy 1983-84. The request of the petitioner for endorsement was, however, turned down by the Controller of Imports and Exports on ground, inter alia, that the validity of the licences had already expired long before the request for endorsement in terms of paragraph 148 of the policy was made by the petitioner. The petitioner is aggrieved by the above orders of the Controller of Imports and Exports. According to him the Controller of Imports and Exports was not justified in law in rejecting his request for endorsement of the licences on the ground of expiry of the validity of the same before the request for such endorsement was made. The petitioner contends that the authority concerned was obliged to consider his request for endorsement even on a licence, the validity of which had expired and to make necessary endorsement if the conditions for such endorsement are satisfied. Heavy reliance is placed in support of this contention on the decision of this Court dated 25th September, 1984 in O. O. C. J. Writ Petition No. 89 of 1984, as also on a Division Bench decision of this Court in (Union of India v. Gem International) 1991 (54) E. L. T. 73.

(2.) WE have carefully considered the above submissions of the petitioner. We, however, find it difficult to accept that request for endorsement can be made in respect of a licence, the validity of which has expired, without first making a request as contemplated by paragraph 210 of the Hand Book of Import Export Procedures, 1983-84 for revalidation of the same because, in our opinion, under paragraph 148 of the Import Export policy what is contemplated is endorsement of a licence which is valid and subsisting and not of a licence the validity of which has already expired. Revalidation of the licence must precede endorsement. The endorsement can only be on a subsisting licence. In this connection, it may be expedient to set out paragraph 148 of the Import Policy (as amended by Public Notice No. 18 of 1983 dated 24th May, 1983 and Public Notice No. 34 - I. T. C. (P. N.)/83 dated 25th August, 1983) which is as follows :

(3.) LEARNED Counsel for the petitioner stated before us that the petitioner would have applied for revalidation after the endorsement was granted. This submission, according to us, is like putting the cart before the horn. Endorsement can be made only of a valid licence - either valid originally or by revalidation made by the competent authority. If the validity period of the licence has expired, application for revalidation must proceed the request of endorsement.