GOPAL LAL SARDA Vs. UNION OF INDIA

JUDGEMENT

(1.) Rule returnable forthwith. Heard finally by consent of the parries.

(2.) The petitioner by this petition challenges notification dated 19-3-2008 issued by respondent No. 2-Director General of Foreign Trade in exercise of powers conferred by Section 5 of Foreign Trade (Development & Regulation) Act, 1992 read with para 2.1 of the Foreign Trade Policy. By that notification, the respondent No. 2 has amended Schedule-I (Imports) of the ITC (HS) Classifications of Export and Import Items. It is common ground that as a result of this notification, now raw and polished marble can be imported from Sri Lanka under the India-Srilanka Free Trade Treaty Agreement, only through the Fort of Kolkata. It is common ground that previously raw and polished marble could be imported from Sri Lanka at any Port in India under the treaty. It is also common ground that because of the notification issued by the authorities under Customs Tariff Act, items which are part of India-Srilankan Treaty the importers are not liable to pay any customs duty.

(3.) The petitioner challenges validity of the Notification dated 19-3-2008 basically on two grounds. According to him, notification could not have been issued under Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (hereinafter referred to as the said Act for the sake of brevity) as it is beyond the powers of the Respondent No. 2. It is further contended that even assuming that such a notification could have been issued, according to the petitioner exercise of powers is not proper in as much as it has been issued with the sole intention of denying the benefit of duty free import to the petitioner on importing marble from Sri Lanka.