JUDGMENT

KASLIWAL. J. :— Special leave granted.

2. Two important questions are involved in the case out of which one is relating to Import Policy and the other is regarding the duty payable under the Customs Act, 1962.

3. Facts relating to the question of Import Policy are that the Government of India framed Import Policy for the years 1985-88 under which import of items under Open General Licence (in short OGL) have been mentioned under Appendix 6 Entry No. 1 as under:

(1) Raw materials, components and consurnables (non-iron and steel items) other than those included in the Appendices 2, 3 Part (a), 5 & 8.

Appendix 5 Part B provides for petroleum products, fertilizers, drugs, feature films, video films, oil/ seeds, cement, cereals, newsprint, photo assistance etc. Under the head oils/ seeds item No. 5 reads as under:

"In the case of the following items, whether edible or non edible, import will be made by the State Trading Corporation (STC)/ Hindustan Vegetables Oil Corporation, New Delhi (A Govt. of India Undertaking) under Open General Licence on the basis of foreign exchange released by the Government in its favour, imports, distribution and their pricing will be made by the State