UNION OF INDIA AND OTHERSversusM/S. PRINCE RUBBER INDUSTRIES
- Citation
- 2010 INSC 847
- Decided
- 3 December 2010
- Disposal
- Dismissed
- Bench
- MARKANDEY KATJU
Holding
Because the application was filed within the statutory deadline, the claim for the 8% cash compulsory support premium could not be denied despite the scheme’s closure, and the High Court's order stands.
Summary
The respondent, Mis. Prince Rubber Industries, sought an 8% cash compulsory support premium against an advance import licence under a scheme funded by the RBI. The Deputy Director General of Foreign Trade rejected the claim, stating that the scheme had been closed in 1994. The respondent filed a writ petition, and the Punjab & Haryana High Court quashed the rejection, directing release of the premium with 8% interest, relying on Circular No. 11 dated 05.05.1993 which required applications to be filed by 31 July 1993. The Union of India appealed, arguing that the scheme’s closure barred the claim. The Supreme Court held that the application was filed on 26 July 1993, within the prescribed deadline, and that the authorities’ inaction could not be a basis to deny the claim, thus affirming the High Court’s order and dismissing the appeal.
Issues considered
- Whether the application for the 8% cash compulsory support premium was filed within the time limit prescribed by Circular No. 11 dated 05.05.1993.
- Whether the closure of the scheme in 1994 bars the grant of the premium for applications filed before the closure.
- Whether the inaction of the concerned authorities can be a ground for denying the claim.
Subjects
Judgment
[2010] 13 (ADDL.) S.C.R. 1187
UNION OF INDIA AND OTHERS A
v.
MIS. PRINCE RUBBER INDUSTRIES
(Civil Appeal No. 4585 of 2005)
DECEMBER 03, 2010
B
[MARKANDEY KATJU AND GYAN SUDHA MISRA, JJ.]
Export-Import - Grant of 8 % Cash Compulsory Support
premium, against advance import licence under the Scheme
- Claim for - Rejection due to closure of Scheme - Writ C
petition - Direction by High Court to release grant of 8 % Cash
Compulsory Support premium against advance import
licence as per the Circular with interest since application was
made within time - On appeal, held: No infirmity in the order
passed by the High Court - Delay/laches - Circular No. 11 D
dated 05. 05. 1993.
The respondent claimed grant of 8% Cash
Compulsory Support premium against advance import
licence under the Scheme funded by the RBI. The Deputy
Director General of Foreign Trade by a letter rejected the E
claim since the Scheme had been closed. In writ petition,
the High Court quashed the letter and directed the release
of the grant of 8 % Cash Compulsory Support premium
with 8% interest per annum, as per circular No. 11 dated
05.05.1993. Therefore, the appellants filed the instant F
appeal.
Dismissing the appeal, the Court
HELD: There is no infirmity in the impugned G
judgment. Under Circular No. 11 dated 05.05.1993, the
application for relief was to be made by 31.07.1993. The
High Court held that the respondent-writ petitioner had
applied on 26.07.1993. Hence, its application was within
1187 H
1188 SUPREME COURT REPORTS [2010] 13 (ADDL.) S.C.R.
A time. The authorities concerned failed to take necessary
action on the application of the writ petitioner, and their
inaction cannot be a ground for denying the claim of the
writ petitioner. (Paras 5, 6 and 7) (1189-A-C]
B CIVIL APPELLATE JURISDICTION : Civil Appeal No.
4585 of 2005.
From the Judgment & Order dated 19 .1. 2004 of the High
Court of Punjab & Haryana at Chandigarh in Writ Petition No.
2116 of 2002.
c
Ashok Bhan, Shweta Verma (for V.K. Verma) for the
Appellant.
Salil Sagar, Yash Pal Dhingra for the Respondent.
D The Judgment of the Court was delivered by
MARKANDEY KATJU, J. 1. This appeal has been filed
against the impugned judgment and order of the Division Bench
of Punjab and Haryana High Court at Chandigarh dated
E 19.01.2004.
2. The facts of the case have been stated in the impugned
judgment of the High Court and hence we are not repeating the
same here, except where necessary.
F 3. The Writ Petition in the High Court was filed for quashing
the order dated 23.03.2001 of the Deputy Director General of
Foreign Trade. By the aforesaid order dated 23.03.2001 the
Deputy Director General wrote to the Writ Petitioner (the
respondent herein) that its claim for grant of 8 % Cash
G Compulsory Support premium against" the advance import
licence under the scheme funded by the Reserve Bank of India
cannot be allowed as the scheme had been closed since 1994.
4. By the impugned judgment the High Court has quashed
the letter dated 23.03.2001 and directed release of the grant
H
UNION OF INDIA AND ORS. v. PRINCE RUBBER 1189
INDUSTRIES [MARKANDEY KATJU, J.]
of 8 % Cash Compulsory Support premium against advance A
import licence as per circular No. 11 dated 05.05.1993 along
with interest at the rate of 8 % per annum.
5. We see no infirmity in the impugned judgment.
6. Under circular No. 11 dated 05.05.1993 the application B
for relief was to be made by 31.07.1993.
7. The High Court has held that the Writ Petitioner
(respondent h~rein) had applied on 26.07.1993. Hence its
application was within time. The concerned authorities failed c
to take necessary action on the application of the Writ
Petitioner, and their inaction cannot be a ground for denying
the claim of the Writ Petitioner.
8. Thus there is no force in this appeal and it is dismissed. D
No cost.
N.J. Appeal dismissed.
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