Civil Misc
Petitions Nos
20021 22 of 1986
in Civil Appeal No 2924 of 1984
From the Judgment and order dated 2271983 of the Delhi High Court in WP No 963 of 1982
SN Kacker PM Amin Atul B Munim and Ashok Grover for the Applicant
AK Ganguli Miss Sushma Relan and Miss A Subhashini for the Respondents
The Judgment of the Court was delivered by SABYASACHI MUKHARJI J
These two Civil Misc
Petitions are by Star Diamond Company India
The applicant has referred to the judgments of this Court in Raj Prakash s case dated 5th March 1986 and Indo Afghan Chamber of Commerce s case  dated 15th May 1986
The applicant states that the applicant was neither a party nor was served with any notice of the said proceedings resulting in the
said two decisions
According to the applicant it was not bound by the directions therein
We are unable to accept the said contentions
Such decisions of Court laying down the position in law are laws binding on all
In the order of this Court dated 18th April 1985 the question of 783 entitlement under certain circumstances came up for consideration
The Government had wrongfully refused to allow Export House Certificates to those who had not diversified their exports
It was held by this Court following the decisions of several High Courts that this was wrong
This Court in the order dated 18th April 1985 in Civil Appeal No 1423 of 1984 a confirmed the orders of the High Court quashed the impugned orders of the Government and directed the Government to issue necessary Export House Certificates for the year 1978 79 b It was further directed that Export House Certificates should be granted within three months from this date
c Save and except items which are specifically banned under the prevalent import policy at the time of import  the parties the merchants would be entitled to import all other items whether canalised or uncanalised and in accordance with the relevant rules
Both canalised and uncanalised items could be imported in accordance with the relevant rules except those which were specifically banned under the prevalent import policy at the time of import
The effect of this direction came to be considered in Raj Prakash Chemicals Ltd vs Union of India supra
We have this date explained the effect of the same in Union of India vs Ms Godrej Soaps Pvt Ltd  Anr Civil Appeal No 341886 arising out of SLP Civil No 8144 of 1986
This question further came up for examination in the case of Ms Indo Afghan Chamber of Commerce  Ors
vs Union of India Writ Petition No 199 of 1986 supra
This day we have also in the judgment in Ms Godrej Soap s case explained the true purport of the said decision
The respondents have not permitted according to the applicant clearance of the goods in view of the said two decisions referred to hereinbefore
The case of the applicant is that it is not bound as the applicant was neither a party to any of the aforesaid proceedings nor any notice was given
We are unable to accept this position
For what we held in the said two decisions we crave leave to refer to the said two decisions
We reiterate as we have mentioned in Ms Godrej Soaps  case whether importation of canalised items would be covered by the order was not adverted to in the first order dated 18th April 1985
Use of the expression whether canalised or not was intended to convey that both canalised and non canalised items would be covered within the ambit of the order
The position has been clarified by the letter dated 18th June 1986 written by the respondent which appears at page 132 of the Paper 784 Book
It has been mentioned that the holders of additional licence issued for 1978 79 would be entitled to import only those goods which are included in Appendix 6 Part 11 of AM 85 88
The fact that the Additional Secretary to the Government of India Ministry of Finance Department of Revenue on 23rd April 1986 wrote a letter which is not in consonance with the subsequent direction would not in any way affect the position or create any estoppel
Nor can such a letter be used as an argument that that was the government s understanding of the matter
That is irrelevant
In the premises the interim order prayed for in these applications is refused
The applications are thus disposed of
There will be no order as to costs


Summary:
This Court by its order dated 18th April 1985 in Union of India vs Rajnikant Bros Civil Appeal No 1423 of 1984 directed that save and except items which were specifically banned under the prevalent Import Policy at the time of import parties would be entitled to import all other items whether canalised  or uncanalised  and in accordance with the relevant rules
The effect of this direction came to be considered in Raj Prakash Chemicals Ltd vs Union of India  and Ms Indo Afghan Chamber of Commerce  Ors
vs Union of India AIR The effect has also been explained in Union of India vs Ms Godrej Soaps Pvt Ltd SLPNo 8144 of 1986
The applicant was neither a party nor was served with any notice of the aforesaid proceedings
The respondents having not permitted clearance of its goods in view of the decisions in Prakash s case and Indo Afghan Chamber of Commerce s case the applicant filed petitions contending that it was not bound by the directions contained therein
Disposing of the petitions the Court  HELD Decisions of this Court laying down the position in law are laws binding on all
782 G 782 Whether importation of canalised items would be covered by the order was not adverted to in the first order dated 18th April 1985
Use of the expression Whether canalised or not was intended to convey that both canalised and non canalised items would be covered within the ambit of the order
783 G The position has been clarified by the respondent s letter dated June 18 1986
The Government of India s letter dated April 23 1986 which is not in consonance with the subsequent direction would not in any way affect the position or create any estoppel
Nor can such a letter be used as an argument that that was the Government s understanding of the matter
783 H 784 A B