Amended penalty under public notice cannot apply to export obligations already fulfilled before its commencement.

A penalty introduced by an amended public notice could not be applied to export obligations that had already been completed before the notice came into force. The Bombay HC noted that the petitioners had earlier sought time to fulfil the export obligations and were asked to complete them first, after which their request would be considered. As the relevant obligations were undisputedly fulfilled before 24-8-1998, the amended penalty provision could not operate retrospectively on those prior completed obligations. The penalty demand was therefore unsustainable, the impugned communications were quashed, and the writ petition was allowed.

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Issues: Whether the penalty introduced by the public notice could be imposed on export obligations that had been fulfilled before the notice came into force.

Analysis: The petitioners had sought extension of time for fulfilling export obligations and were directed by the authorities to complete the obligations first, after which the request would be considered. The public notice introducing penalty under the amended procedure became effective only on 24-8-1998, whereas the petitioners had completed the relevant export obligations before that date. In the absence of any denial of the factual position, and in the peculiar facts of the case, the amended penalty provision could not be applied to prior completed obligations.

Conclusion: The penalty could not be recovered from the petitioners.

Final Conclusion: The impugned communications demanding penalty were quashed and the writ petition was allowed.

Ratio Decidendi: A penalty introduced by an amended public notice cannot be applied to export obligations already fulfilled before its commencement, particularly where the authorities had earlier granted time for compliance.

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