Legislative and Regulatory Update

 

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In This Issue

[No.47]                                                                        April 20, 2003

International
SEBI
Department of Company Affairs
Department of Revenue
CBDT
CBEC Excise Non Tariff
CBEC Customs Tariff
DGFT
Department of Posts and Telecommunications
Ministry of Railways
Supreme Court

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International Legal News

Cases

Source:Westlawinternational.com

  • Civil Rights: Ordinance prohibiting insulting conduct was vague as applied to defendant who uttered racial epithet.

The term "insulting" in an ordinance proscribing any indecent, insulting, immoral, or obscene conduct in any public place did not give adequate forewarning that referring to a person by a racial slur could rise to the level of fighting words that can be proscribed constitutionally. Accordingly, the Court of Appeals held that the ordinance was unconstitutionally vague as applied to a defendant who was overheard referring to fellow restaurant patrons as "spics."

People v. Barton

  • Criminal Justice: Telephonic search warrants are invalid under Mississippi law.

Telephonic search warrants are not legal in Mississippi. No rule permitting such a warrant exists in Mississippi, and the state Constitution says nothing about such warrants. In one case, evidence discovered during a search based on such a warrant was admissible under the "good faith" exception to the exclusionary rule. The Supreme Court, however, cautioned that officers and judges would not henceforth be able to claim ignorance of the law in this regard and thus would not be able to rely on the good faith exception.

This decision may not yet be released for publication.

White v. State

  • Criminal Justice: Subsequent use of arson plea in prosecution for felony murder of arson victim did not require habeas relief.

A state court determination, that admitting a petitioner's plea allocution to arson in a subsequent trial for murder of an arson victim, who died after guilty plea, did not violate due process, was not contrary to or unreasonable application of clearly established Supreme Court precedent. The failure to advise the petitioner that his plea to arson might be used against him in subsequent prosecution did not render the plea involuntary. The subsequent use of petitioner's plea allocution was not an immediate or definite consequence of his plea. Due process did not require the court or counsel to foresee the plea allocution might be used against petitioner given years later and inform him of that possibility. Thus, habeas relief was not available on claim.

Murden v. Artuz

  • Immigration: Summary affirmance of alien's removal did not violate alien's due process rights.

The summary affirmance of an alien's removal did not violate the alien's due process rights. Meaningful review of the removability determination was not precluded by the brevity of the Board of Immigration Appeals' (BIA) summary affirmance decision, and there was no evidence that BIA member who reviewed alien's removal deviated from the requirements of the regulations in determining whether alien's appeal could be subject to the streamlining procedures.

Mendoza v. U.S. Atty. Gen.

  • Transportation: Regulation under which "IRISH" vanity license plate was rejected exceeded statutory authority.

The Vermont Department of Motor Vehicles was not authorized, under the state statute providing that the Commissioner of DMV "may" refuse to honor any vanity license plate "request" that might be offensive or confusing to the general public, to promulgate a regulation declaring certain categories of letter- number combinations, such as those referring to ethnic heritage, as being offensive. The legislature chose not to set forth categories of offensive terms. The regulation authorized the rejection of requests for letter and number combinations that were themselves inoffensive, but that belonged in one of several designated categories or topics that included words with the potential to offend. At issue was the Department's use of the regulation as the basis for rejecting a request for a vanity license plate with the letters "IRISH."

Martin v. State

  • Litigation: Nonresidents whose cause of action did not arise in state could not join class action.

The door-closing statute prevented the nonresidents whose cause of action did not arise in state from joining the class action against foreign corporations who allegedly sold defective cotton seed. The statute excluded the class members who would otherwise have had no access to the state courts via individual lawsuits. This was a matter of first impression, and overruled cases framing the issue of the door-closing statute as one of subject matter jurisdiction.

Bell v. Monsanto Corp.

  • Injunction: Injunction prohibiting manufacturer from terminating contract with dealer was not warranted.

An automotive parts dealer and a manufacturer did not agree that the manufacturer would supply and the dealer would sell both equipment and repair parts. Therefore, Louisiana's repurchase statute requiring manufacturers to provide notice to distributors and an opportunity to correct any alleged defect before terminating the contract for good cause was not applicable. Rather, the parties only agreed that the dealer would maintain a freestanding stock of generic automotive repair parts.

Lake Charles Diesel, Inc. v. General Motors Corp.

  • Mergers: Utility could not establish claim for fraudulent inducement to enter merger agreement.

A specific disclaimer in the parties' confidentiality agreement, combined with the merger clause in their merger agreement precluded any claim of reasonable reliance on the extra-contractual representations made by the Massachusetts utility's representatives, and therefore a New York utility could not establish a valid claim under New York law for fraudulent inducement. The alleged oral representations made during due diligence were disclaimed by the confidentiality and merger agreements, and the merger agreement went on to provide that the merger agreement and the confidentiality agreement were the entire agreement between the parties and superseded all prior understandings, both written and oral.

Consolidated Edison, Inc. v. Northeast Utilities

  • Hazardous Substances: Relief sought beyond injunction barring violations of Toxic Substances Control Act exceeded Act's scope.

Although the injunctive relief sought by a neighborhood association, that of enjoining a city's alleged ongoing and future violations of federal law governing lead-based paint abatement activities, was contemplated by the Toxic Substances Control Act, the additional relief requested went beyond the scope of relief afforded by the Act, which only authorized citizen suits "to restrain" violations of its substantive provisions. These additional remedies included the medical monitoring of neighborhood residents allegedly exposed to lead poisoning as a result of the city's alleged past violations, ordering the remedying of past violations, and ordering the city to ensure that affected residences were safe for human habitation.

Arbor Hill Concerned Citizens Neighborhood Ass'n v. City of Albany, New York

  • Impact Statements: FEIS prepared by Air Force in connection with proposed training of bomber aircrews complied with NEPA.

The Air Force complied with the requirements of National Environmental Policy Act in preparing a final environmental impact statement (FEIS) to assist its determination as to whether to implement training activities for combat bomber aircrews. The Air Force in good faith objectively took a hard look at the environmental consequences of the proposed plan and alternatives, the FEIS provided detail sufficient to allow those who did not participate in its preparation to understand and consider the pertinent environmental influences involved, and the FEIS's explanation of alternatives was sufficient to permit a reasoned choice among different courses of action.

Davis Mountains Trans-Pecos Heritage Ass'n v. U.S. Air Force

  • Evidence: Redaction of court transcript was warranted in Resource Conservation and Recovery Act claim.

The District Court's order approving the government's redaction of a previously sealed court transcript before unsealing it was warranted, in an action brought by former workers at a classified Air Force facility for alleged violations of the Resource Conservation and Recovery Act (RCRA). The Court compared the proposed redacted version of the transcript with the unredacted version and found that the redactions were consistent and classified, under the state secrets privilege.

Kasza v. Whitman

  • CERCLA: Judicial review of pre-enforcement substantive due process challenge to CERCLA was precluded.

Judicial review of a broad, pre-enforcement due process challenge to Comprehensive Environmental Response, Compensation, and Liability Act's administrative cleanup order enforcement mechanisms was precluded. CERCLA's timing of review statute prohibited challenges to orders of the Environmental Protection Agency. The constitutional challenge was not one of the enumerated exceptions to CERCLA's prohibition against pre-enforcement actions. Allowing pre-enforcement review of the facial and as-applied constitutional challenges would frustrate congressional intent to promote speedy environmental cleanup. Meaningful review would be available after the cleanup action was concluded.

General Elec. Co. v. Whitman

  • Marks and Logos: Long delay precluded assertion of trademark infringement claim.

The operator of a multistate restaurant chain, under the trademark "WHATABURGER," was precluded by statutory equitable defenses of acquiescence and estoppel from pursuing a counterclaim of infringement by the owners of Virginia restaurants operating under the mark "What-A-Burger." A representative of the chain had discussed a possible acquisition of the Virginia restaurants in 1970, without protesting the trademark similarity. The chain took no action to enforce its mark over the intervening 32 years, during which time the Virginia restaurant operators expanded the business.

What-A-Burger of Virginia, Inc. v. Whataburger Inc., of Corpus Christi, Texas

  • Computers and Online Services: Term "circuit" recited sufficiently definite structure to avoid means-plus-function construction.

A competitor failed to show by a preponderance of the evidence that a person of ordinary skill in the art believed that the term "circuit" did not recite sufficiently definite structure, in a patent for using an on-screen display to control a computer switching system. The written description disclosed only the preferred embodiments of various circuit limitations and did not use those terms in a manner clearly inconsistent with the ordinary meaning of the term "circuit," the prosecution history did not suggest that the ordinary meaning of the term "circuit" did not apply, and every use of the term in the asserted claims included additional adjectival qualifications further identifying sufficient structure to perform the claimed functions.

Apex Inc. v. Raritan Computer, Inc.

  • Appeals: Waiver did not occur even though no objection was made to claim construction or jury instruction.

A patent holder did not waive its argument that the elements in a "guiding steps" limitation could be performed simultaneously, in a patent on a high- speed egg processing machine, even though the patent holder did not object to the district court's claim construction or instructions to the jury. Essentially, the patent holder's appeal was to protect the original breadth of the binding claim construction presented by the district court to the jury from the post facto imposition of an additional limitation.

Moba, B.V. v. Diamond Automation, Inc.

  • Computers and Online Services: Registrant of domain name "Pinehurst" was cybersquatter.

An Internet domain name registrant violated the Anticybersquatting Consumer Protection Act (ACPA) by registering the names "Pinehurstresort.com" and "Pinehurstresorts.com," which were similar to the trademark "Pinehurst Resort and Country Club" used by a famous golf club. The registrant showed bad faith, through lack of any previous use of the Pinehurst name, failure of an argument that use of the name was for parody purposes, intent to divert web searchers from the golf club to their site, where they would be exposed to an anticapitalist message, willingness to sell rights to the names, and warehousing of thousands of domain names of large corporations and law firms.

Pinehurst, Inc. v. Wich

  • Computers and Online Services: Phrase "bus interface unit" was required to be accorded its ordinary meaning.

The phrase "bus interface unit," in a patent on a bus interface unit, was required to be accorded its ordinary meaning, i.e., a unit for interfacing with a serial data bus, since the inventor conceived that the invention would be used principally, if not exclusively, in a "command/ response" environment. Notwithstanding repeated references in the patent to operation of a bus interface unit in either a bus controller or a remote terminal mode, there was no clear disclaimer of using the invention in a protocol other than a command/response protocol.

Northrop Grumman Corp. v. Intel Corp.

  • Jury: Patent holder did not waive issue of whether its own prior patent was prior art to subsequent patents.

A patent holder did not waive the issue of whether its own prior patent was prior art to its subsequent patents, even though the patent holder failed to object to a jury instruction that the prior patent was prior art. The objection by the patent holder at the charging conference would have been futile because the issue was the primary focus of summary judgment briefs, the district court, on its own initiative, invited the parties to discuss the issue in a separate round of briefs, and the district court issued a written ruling one day before trial that carefully addressed only that issue and the trial was then conducted on the basis of that ruling.

Riverwood Intern. Corp. v. R.A. Jones & Co., Inc.

  • Patent Practice: Patent claim covering a gas cell was not literally infringed.

A patent claim covering a gas cell that corrected astigmatism through the use of spherical objective mirrors with a cylindrical component added thereto was not literally infringed. Toroidal objective mirrors used by the accused gas cell were not the same as spherical mirrors with a cylindrical correction used by the patented device.

On-Line Technologies, Inc. v. Perkin-Elmer Corp.

  • Marks and Logos: Hair care product manufacturer abandoned trademark.

The allegedly senior owner of a trademark for a hair care product, whose product was at least partially manufactured in the United States but sold only from its United Kingdom home to customers in third countries, did not use the mark "in commerce," for purposes of determining whether its rights in the mark had been abandoned. The transport from its manufacturing to its sales offices was in groupage, and did not result in any public awareness of the mark.

General Healthcare Ltd. v. Qashat

  • Fraud: Tipper must have intent to benefit in disclosing inside information.

The Eleventh Circuit has held that, in order to prevail on a misappropriation theory of insider trading liability against a misappropriator who does not himself use confidential information in order to trade in securities, but who tips such information to a third-party trader, the Securities Exchange Commission (SEC) must prove that the misappropriator expected to benefit from the tip. This intent to benefit does not require an expectation of actual pecuniary gain, such as a kickback or reciprocal tip in future. It may be enough that the tipper seeks to enhance his reputation or to make a gift to a trading relative or friend. A split of authority on the issue was noted.

S.E.C. v. Yun

  • Fraud: Investors failed to state claim for control person liability under Securities Exchange Act.

Investors in a limited partnership failed to state a claim for control person liability under the Securities Exchange Act against the companies that allegedly had control over the limited partnership's operation. The complaint made no allegations regarding the companies' role as to the misrepresentations and omissions purportedly contained in the offering documents used to solicit the investors. Although the investors suggested that it was "easy to imagine" how the companies could have exercised their authority to ensure that the limited partnership complied with all required disclosure requirements, the investors bore the burden of presenting a sufficient factual basis for finding that the companies had specific control over the alleged primary securities violations.

766347 Ontario Ltd. v. Zurich Capital Markets, Inc.

  • Real Property: Bureau failed to meet its burden of proving strict compliance with statutory notice requirements.

The tax claim bureau failed to meet its burden of proving strict compliance with the statutory notice requirements governing the posting of real property tax sale notices. Although the testimony of the witness, who was employed by the county to post the tax sale notices, established that he posted the tax sale notice on a telephone pole on the taxpayers' land, he had no recollection of how he attached the notice. Thus, there was no way for the court to conclude whether or not the notice was "reasonably secured."

Consolidated return by McKean County Tax Claim Bureau of 9/12/2000 ex rel. Howard

  • Amusement: Taxpayers were entitled to reimbursement of payments to Horse Racing Tax Allocation (HRTA) Fund.

Amendments to the Racing Act required the redistribution of Horse Racing Tax Allocation (HRTA) Fund amounts in excess of prior levels to the taxpayers, and thus the taxpayers were entitled to reimbursement from the State of payments of the pari- mutuel handle of inter-track and simulcast wagering into the HRTA Fund. Without such redistribution, the taxpayers would be subjected to an actual increase of the tax, despite the clear expression of the legislature that the funds were to be redistributed, and the legislature had provided for the appropriation of the funds that remained in the HRTA Fund at the prior level.

This decision may not yet be released for publication.

Balmoral Racing Club, Inc. v. Gonzales

  • Real Property: Property tax assessment on shopping center did not violate the uniformity clause.

The property tax assessment on taxpayer's shopping center did not violate the uniformity clause, even though it was allegedly assessed higher than other shopping centers in the county. The county had previously conducted a countywide reassessment at which time the county commissioners set an established predetermined ratio at 100 percent of market value, the purchase price of taxpayer's property was $10,422,978.23 and the State Tax Equalization Board (STEB) ratio for the year of the tax appeal was 85.2 percent, and because the STEB ratio varied less than 15% of the established predetermined ratio of 100%, the properly assessed fair market value of the property was $8,500,000.00.

Downingtown Area School Dist. v. Chester County Bd. of Assessment Appeals

  • Real Property: Sufficient evidence supported Property Tax Appeal Board's reduction of assessed valuation of property.

Sufficient evidence supported a decision by the Property Tax Appeal Board (PTAB) to reduce the county's assessed valuation of a parcel of the taxpayer's real property. The county placed the subsequent property sale into evidence through the transfer declaration without any further evidence concerning the nature of the transaction, and the re-zoning and special use application granted immediately prior to the sale may have had a significant impact on the subsequent purchase price.

This decision may not yet be released for publication.

Kankakee County Bd. of Review v. State Property Tax Appeal Bd.

  • Gift: Notice of gift tax deficiency was not invalid.

The failure by the Internal Revenue Service (IRS) to include in a notice of gift tax deficiency the calculated date by which the taxpayer was required to file a petition with the Tax Court to contest the deficiency did not invalidate the notice. The notice was dated and advised the taxpayer that he had a 90-day period within which to file a petition. Also, the taxpayer filed his petition by the calculated date, and thus suffered no prejudice as a result the IRS failure.

Elings v. C.I.R.

  • Liens: Tax Commissioner's levy upon taxpayer's bank account complied with statutory notice provisions.

The methods by which a County Tax Commissioner issued executions and imposed a levy upon a past due taxpayer's bank account, without notice prior thereto, in order to collect county taxes owed on personal property complied with notice provisions under statutes governing collection of past due taxes. The statutes under which the Commissioner acted authorized the issuance of executions and the imposition of levies upon all of taxpayer's property, including bank accounts, since the taxpayer neglected or refused to pay taxes. Furthermore, none of the statutes required the Commissioner to provide the taxpayer notice of such action.

Anderson v. Ford

  • Real Property: Tax claim bureau failed to adhere strictly to the notice provisions of the Real Estate Tax Sale Law.

The tax claim bureau failed to adhere strictly to the notice provisions of the Real Estate Tax Sale Law which sets forth requirements for the mailing of various notices to owners of a property where the real estate taxes are in arrears and the sale of property is possible. Even though the taxpayer attempted to make payment of the taxes in full and the envelope in which she mailed the payment was postmarked prior to the sale, it was not received by the bureau before the sale. Thus, the timing of when the taxpayers learned of the impending tax sale prevented them from paying the delinquent taxes in full.

In re 1999 Tax Claim Bureau of Consol. Returns

  • Real Property: Taxpayers were not entitled to spot assessment relief.

The taxpayers, who sought to have the tax assessments on their properties reduced, were not entitled to spot assessment relief, where there was no proof that assessments were excessive. The legal presumption that the assessment was correct had not been overcome since the taxpayers failed to introduce any evidence as to value of their properties, the prohibited "welcome stranger" basis for rolling back the assessment was not present, and the taxpayers had not challenged the logic of the assessor in examining the assessment rolls and making the revisions. Additionally, looking at neighborhoods by the assessor to revise the assessments on an area-wide basis was not a prohibited spot assessment.

Shippee v. Brick Tp.

News

  • Cigarette maker Philip Morris is facing another fraud suit by Chitwood & Harley before the Georgia's Fulton State Court for deceiving smokers into believing that light cigarettes were safer than other brands.

  • In People Vs. Radcliffe   it has been held that a jury can hear testimony that suggests eyewitnesses are particularly unreliable when identifying perpetrators of a different ethnicity.

  • In Suders Vs. Easton  the 3rd US Circuit Court of Appeals has ruled that if the plaintiff in a sexual harassment suit can prove she was a victim of a "constructive discharge" - meaning that working conditions were so intolerable that she was forced to quit, the defendant is not entitled to invoke the so called Fragher/Ellerth defense.

  • On Wednesday, the U.S. Supreme Court will hear Nike v. Kasky, wherein the issue is whether Nike can be sued by individuals under state unfair competition laws for statements the company made about its overseas labor practices. This case could have historic implications for corporations' First Amendment rights.

     

SEBI

Secondary Market Division

  • Maintenance of Arbitration Records

Circular No. SMD/SE/ 13 /2003/10/04 Dated 10.04.2003 : SEBI has decided to frame a uniform policy applicable to all stock exchanges regarding the maintenance / disposal of arbitration records. Accordingly, it has been decided that :

1. The original arbitration award with acknowledgements shall be preserved permanently. 

2. Other records pertaining to arbitration shall be preserved for 5 years from the date of award, in case the appeal for setting aside the award is not filed till such time. 

3. In case, an appeal is filed, the records, shall be preserved for five years from the date of final disposal by the Court. 

4. The destruction of records shall be subject to the previous order, in writing of the Executive Director of the Exchange. 

5. The Exchange shall maintain a register wherein the brief particulars of the records destroyed alongwith the certification regarding the date and mode of destruction. 

  • Renewal of Recognition to National Stock Exchange of India Limited, Mumbai U/S 3 of Securities Contract (Regulation) Act, 1956

Notification No. SO428(E) Dated 10.04.2003 : SEBI has granted, recognition to National Stock Exchange of India Limited, Mumbai for a further period of five years, commencing on April 26, 2003 and ending on April 25, 2008, in respect of contracts in securities, subject to the conditions as may be prescribed or imposed hereafter from time to time.

  • Order in the Matter of Superseding the Board of Directors of Pune Stock Exchange Limited Under Section 11 of the Securities Contracts (Regulation) Act, 1956

Order No. SO398(E) Dated 04.04.2003 : The Board of the Pune Stock Exchange has been superseded for a period of one year with effect from 4th April, 2003 and Shri B.D. Banerjee has been appointed as an Administrator to exercise and perform all the powers and duties of the Governing Board. Shri Banerjee may take assistance of such persons, as he thinks it necessary.

Press Release

  • Constitution of Central Listing Authority

Press Release No. PR 87/2003 Dated 09.04.2003 : SEBI has been envisaging the setting up of a Central Listing Authority to bring about the uniformity in the due diligence process in scrutinizing listing applications across the stock exchanges and to dynamise the Listing Agreement. To achieve this objective, SEBI has established Central Listing Authority (CLA) under Regulation 3 of the Securities and Exchange Board of India (Central Listing Authority) Regulation, 2003. The office of the CLA would be located in Mumbai. 

Department of Company Affairs

  • Companies (Acceptance Of Deposits) (Second Amendment) Rules, 2003

Notification No. GSR323(E) Dated 09.04.2003 : In the Form, in Part-I, sub-item (b) of item 2 and 4 has been substituted. 

  • Simplification of Procedure for Removal of Name of Defunct Companies (Simplified Exit Scheme) – Corrigendum to General Circular No: 13/2003 dated 25.3.2003 

Circular No. 15/2003 Dated 09.04.2003 : Annexure C has been replaced.

  • Competition Commission of India (Selection of Chairperson and other Members of the Commission) Rules, 2003 

Notification No. GSR303(E) Dated 04.04.2003 : Central Government has issued the Competition Commission of India (Selection of Chairperson and other Members of the Commission) Rules, 2003 to be effective from 04.04.2003 

  • Commencement of the provisions of section 2 and 6 of the Companies (Second Amendment) Act, 2002 (11 of 2003) with effect from 1.4.2003 

Press Note No. 2/2003 Dated 04.04.2003 : The Companies (Second Amendment) Act, 2002 (11 of 2003) received the assent of the President of India on 13.1.2003. Government has decided to bring into force the provisions of section 2 and 6 of the Companies (Second Amendment) Act, 2002 (11 of 2003) with effect from 1.4.2003. This has been notified to enable the Government to initiate necessary steps to establish National Company Law Tribunal and make it operational.

Department of Revenue

  • Persons Authorised to Adjudicate Cases of Contravention Under FERA, 1973 

Notification No. SO395(E) Dated 31.03.2003 : The Central Government has authorised specified persons to function as adjudicating officers to adjudicate the cases of contravention of any of the provisions of the repealed Act [other than section 13, clause (a) of section 18, sub-clause (a) of sub-section (1) of section 19] or any rule or direction or order made thereunder, such cases as may be assigned by the Directorate of Enforcement.

CBDT

  • Notifications Under Income Tax Act, 1961

Notification No. 77/2003 to No. 80/2003 Dated 03.04.2003 and 09.04.2003 :

BSES Andhra Power Limited, Hyderabad Approved U/S. 10(23G) 

M/s Kasturba Health Society, Maharashtra Approved U/S 35(1) (ii) under category "Institution" 

M/s Indian Institute of Health Management Research, Jaipur Approved U/S. 35(1)(ii) 

M/s Poona Medical Research Foundation, Pune Approved U/S 35(1)(ii) 

CBEC Excise Non Tariff

  • Central Government Declares (Amount of Credit of Duty)

Notification No. 35/2003 NT Dated 10.04.2003 : The Central Government, has declared, for the purposes of rule 9A of the Central Excise Rules, 2002, the amount of credit of duty, on inputs lying in stock or in process or on inputs contained in finished goods lying in stock, as specified.

  • CENVAT Credit (Seventh Amendment) Rules, 2003 

Notification No. 34/2003 NT Dated 10.04.2003 : 1. In rule 3 sub-rule 4A has been inserted relating to removal of any good falling under Chapter 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62 or 63 of the First Schedule to the Tariff Act by a first or second stage dealer, dealing exclusively in them.

2. Rule 9A has been amended.

  • Central Excise (Fifth Amendment) Rules, 2003

Notification No. 33/2003 NT Dated 10.04.2003 : Rule 12C relating to Maintenance of records and payment of duty by the independent weaver of unprocessed fabrics has been inserted. 

  • Amendment to Notification No.44/2001 Dated 26.06.2001

Notification No. 32/2003 NT Dated 09.04.2003 : In the said notification, in the opening paragraph, for the words ‘from the place of manufacture’, the words ‘from the place of manufacture or warehouse’ shall be substituted. 

CBEC Customs Tariff

  • Amendment to Notification No. 21/2002 Dated 01.03.2002 

Notification No. 66/2003 Dated 04.04.2003 : In the Table, against S.No.21, in column (3), after item (b), the following has been inserted, 

"(c) Five lakh metric tonnes of total imports of such goods in the financial year 2003-04"

  • Anti-Dumping Duty on Steel and Fibre Glass Tapes 

Notification No. 65/2003 Dated 04.04.2003 : Anti-Dumping Duty has been imposed on the import of Steel and Fibre Glass Tapes. 

  • Rescission to Notification No.55/2002 Dated 22.05.2002

Notification No. 64/2003 Dated 02.04.2003 : Central Government has rescinded the notification of the Government of India in the erstwhile Ministry of Finance (Department of Revenue), No. 55/2002-Customs, dated the 22nd May, 2002, published in Part II, Section 3, Sub-section (i) of the Gazette of India, Extraordinary, dated the 22nd May, 2002 vide No. G.S.R. 378(E), dated the 22nd May, 2002, except as respects things done or omitted to be done before such rescission.

DGFT
  • Amendment in appendix III of ITC (HS)- import policy

Notification No. 05 (RE-2003)/ 2002-2007 Dated 07.04.2003 : Amendments have been made in the ITC (HS) Classifications of Export and Import Items, 2002-2007 published on 31st March, 2002 as amended from time to time.

  • Indian rupee value for the special currency basket 

Public Notice No. 05 (RE- 03)/ 2002-2007 Dated 04.04.2003 : In pursuance of the relevant provisions contained in the Deferred Payments Protocol dated the 30th April, 1981 and 23rd December, 1985 between the Government of India and the former USSR, the Reserve Bank of India have further revised the Indian Rupee Value of the Special Currency Basket to be 57.5227 to be effective from 11.03.2003.

  • Advance Licences Under Paragraph 4.7 of HBP Vol. I 2002-2007 Involving Import of Cloves, Cinnamon and Cassia - Instructions Under General Notes for Food Products

ALC Circular No.01/2003-2004 Dated 03.04.2003 : All Regional Licensing Authorities have been, requested to strictly comply with the General Note for Food Products in Hand Book of Procedures (Vol. II Part II), specifying that the import of cloves, cinnamon and cassia under Advance Licences shall be allowed only for the export products as mentioned in SIONs at S.Nos. E-54 (i.e. Cassia Oleoresin), E-55 (i.e. Clove Bud Oil) and E-56 (i.e. Curry Powder containing Clove Buds, Cinnamon and Cassia collectively 5% and other 95% ingredients to be of locally produced items), as the Advance Licensing Committee has been receiving, from some of the Licensing Authorities, applications under paragraph 4.7 of HBP Vol. I 2002-2007 (corresponding to paragraph 7.5 of HBP Vol. 1 1997-2002) in respect of which the advance licences involving import of cloves, cinnamon and cassia have been issued for export products other than those specified under the said SIONs. 

  • Continuance of Deemed Export Benefits Under Para 190 (F) and 220 (3) of the Import and Export Policy, 1988-91 for Supply of Turbine and Motor Generator Sets for River Body Project House of Sardar Sarovar Narmada Project in the Wake of Withdrawal of OECF Funds

Public Notice No. 4(RE-2003)/2002-07 Dated 03.04.2003 : It has been decided that all contracts awarded / Letter of Intent issued by Sardar Sarovar Narmada Nigam Ltd. prior to the date of suspension of OECF fund on 25.11.1990 would be entitled to the deemed export benefits that existed on this date.

Department of Posts and Telecommunications
  • Telecom Disputes Settlement and Appellate Tribunal (Form, Verification and the Fee for Filing an Appeal) Rules, 2003 

Notification No. GSR296(E) Dated 02.04.2003 : Central Government has made the Telecom Disputes Settlement and Appellate Tribunal (Form, Verification and the Fee for filing an appeal) Rules, 2003 to be effective from 2.04.2003. The rules specify form and verification while filing an appeal, Fee for filing an appeal and Procedure for service of notices..

Ministry of Railways

  • Officers Mentioned Appointed as Electrical Inspectors and their Jurisdiction Specified 

Notification No. SO417(E) Dated 08.04.2003 : Central Government has appointed Electrical Inspectors & directed that each of them shall exercise the powers and perform the functions of an Electrical Inspector under the Indian Electricity Act, 1910 in regard to all electrical works of their respective Zones as specified.

Supreme Court

  • Sukanya Holdings Pvt. Ltd. Vs.  Jayesh H. Pandya and Anr.

This is an appeal against the order of Mumbai High court which held that the plaintiff had prayed for other reliefs apart from the relief of dissolution and accounts of a partnership firm and all the defendants to the suit were not parties or partners in the partnership firm and the terms of the partnership deed including the arbitration clause were not binding on these defendants. Only part of the subject matter could at the most be referred to the arbitration. There is no power conferred on the Court to add parties who are not parties to the agreement in the arbitration proceedings and therefore the application under Section 8 of the Arbitration and Conciliation Act, 1996 (hereinafter referred as the "Act") as filed by the Appellant was rejected.

 The Hon'ble Supreme court held that judicial authority shall not intervene except where so provided in the Act. The court further held that the matter is not required to be referred to the arbitral Tribunal, if - (1) the parties to the arbitration agreement have not filed any such application for referring the dispute to the arbitrator; (2) in a pending suit, such application is not filed before submitting first statement on the substance of the dispute; or (3) such application is not accompanied by the original arbitration agreement or duly certified copy thereof. This would, therefore, mean that Arbitration Act does not oust the jurisdiction of the Civil Court to decide the dispute in a case, where parties to the Arbitration Agreement do not take appropriate steps as contemplated under Sub-sections (1) & (2) of Section 8 of the Act. Further, there is no provision in the Act that when the subject matter of the suit includes subject matter of the arbitration agreement as well as other disputes, the matter is bifurcated and part of the suit is  referred to arbitration. There is also no provision for splitting the cause or parties and referring the subject matter of the suit to the arbitrators. The bifurcation of suit would inevitably delay the proceedings and increase cost as well as harassment to the parties. Therefore for the reasons stated herein, the Hon'ble Supreme Court dismissed the appeal of the Appellant.