MESSRS. FEDCO (P) LTD. & ANOTHER versus S. N. BILGRAMI & OTHERS

MESSRS. FEDCO (P) LTD. & ANOTHER versus S. N. BILGRAMI & OTHERS

Clause 9 of the Imports Control Order, 1955, allowing for cancellation of import licences, constitutes a reasonable restriction on constitutional rights and is valid. The procedures under cl. 10 satisfy requirements of natural justice if, in the facts of the case, the licensee is given a fair opportunity to respond. In this case, despite lack of access to documents, the petitioners were more concerned with denying involvement than disputing the occurrence of fraud, and were not denied a reasonable opportunity of being heard under the Order.

Parties
Petitioner: Messrs. Fedco (P) Ltd.; Respondent: S. N. Bilgrami & Others
Jurisdiction
India
Judgment Date
09 December 1959
Procedural Posture
Petition Under Article 32 of the Constitution of India / Final Judgment on Merits
Outcome
Petition dismissed with costs (majority view)
Legal Topics
Import Licence Cancellation, Natural Justice, Right to Hearing, Reasonableness of Restrictions
Constitutional Law Administrative Law Trade Law Import Licence Cancellation Natural Justice Right to Hearing Reasonableness of Restrictions

Case Brief

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Parties

Messrs. Fedco (P) Ltd.

Petitioner

S. N. Bilgrami & Others

Respondent

Procedural Posture

Petition Under Article 32 of the Constitution of India / Final Judgment on Merits

Legal Issues

  1. 1 Whether cl. 9(a) of the Imports Control Order, 1955 is unconstitutional as violative of Articles 19(1)(f), 19(1)(g), and 31 of the Constitution.
  2. 2 Whether adequate and reasonable opportunity of being heard was given to the petitioners before cancellation of import licences as required by cl. 10 of the Imports Control Order, 1955.

Ratio Decidendi

Clause 9 of the Imports Control Order, 1955, allowing for cancellation of import licences, constitutes a reasonable restriction on constitutional rights and is valid. The procedures under cl. 10 satisfy requirements of natural justice if, in the facts of the case, the licensee is given a fair opportunity to respond. In this case, despite lack of access to documents, the petitioners were more concerned with denying involvement than disputing the occurrence of fraud, and were not denied a reasonable opportunity of being heard under the Order.

Court Disposition

Petition dismissed with costs (majority view)

Orders

  • Writ denied; order of cancellation of import licences upheld (majority).
  • (Dissent) Writ of certiorari to quash the order of cancellation (Subba Rao, J.)