https://www.taxtmi.com/caselaws?id=100674 Liability under the Foreign Exchange Regulation Act, 1947 arose only where a person, without Reserve Bank permission, refrained from steps that would make foreign exchange unrecoverable in whole or in part. On the facts stated, the exporters had taken initial recovery steps, obtained RBI approval for the compromise, and realised more than 95% of the export value. The Board also found that arbitration would have caused unnecessary expense and that there was no mens rea. The failure to pursue arbitration therefore did not amount to prohibited short realisation of export proceeds, and the penalty order could not stand. en-us Fri, 13 May 1983 00:00:00 +0530 Fri, 03 Feb 2012 18:12:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=100674 Liability under the Foreign Exchange Regulation Act, 1947 arose only where a person, without Reserve Bank permission, refrained from steps that would make foreign exchange unrecoverable in whole or in part. On the facts stated, the exporters had taken initial recovery steps, obtained RBI approval for the compromise, and realised more than 95% of the export value. The Board also found that arbitration would have caused unnecessary expense and that there was no mens rea. The failure to pursue arbitration therefore did not amount to prohibited short realisation of export proceeds, and the penalty order could not stand. Case-Laws Companies Law Fri, 13 May 1983 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=100674