The court held that the refusal to extend import deadlines due to COVID-19 was irrational, requiring public authorities to act fairly and transparently in extending timelines during force majeure events.

JUDGMENT

Prathiba M. Singh, J. (Oral)--This hearing has been done through video conferencing.

2. The Petitioners have approached this Court seeking grant of extension of two months to enable them to complete the import of "poppy seeds", for which registration certificates have been issued by the Central Bureau of Narcotics (hereinafter, `CBN'). The Petitioners also pray for quashing and setting aside the impugned order dated 21st October, 2020, passed by the Director, Department of Revenue, Ministry of Finance, Government of India, by which the representation of the Petitioners seeking an extension for completing the imports was also rejected.

3. The brief background in these cases is that the Petitioners are importers of "poppy seeds". The Petitioners in W.P.(C) 8668/2020, W.P.(C) 8669/2020, W.P.(C) 8670/2020, W.P.(C) 8671/2020 and W.P.(C) 8676/2020 had entered into sales contracts for import of poppy seeds with one M/s Gansu Puankang Pharmaceutical Co. Ltd.,-a Chinese exporter. In terms of the contracts, the importers have paid 80% of the consideration in advance in some petitions and 30% advance in some petitions. Some portion of the goods have already been imported. However, the entire quantum is yet to be imported. The details of the sales contracts qua each of the Petitioners is set out in the table below:

4. The imports, in accordance with the sales contracts and the licenses issued by the Respondents, were to be completed by 17th March, 2020. However, the Chinese exporter informed the Petitioners, vide letters sent around mid-February, that they would be unable to export the consignment, in view of various problems caused due to the outbreak of the COVID-19 pandemic, including transportation issues, non-availability of labour and non-availability of containers. The Chinese company sought time up till 30th June, 2020, for fulfilling its obligations under the said sales contracts.

5. The Petitioners then wrote letters in the latter half of February, to the Respondents, in view of the Chinese exporter's letters, seeking extension of the validity of the sales contracts, up to 30th June, 2020. The Petitioners are stated to have received no replies to the same. The Petitioners, thereafter wrote further letters in May, June, August and September, however no positive response was forthcoming. During this period, the Chinese exporter also continued to communicate with the Petitioners and repeatedly sought instructions for shipping the consignment. Owing to the complete silence on behalf of the Respondent-Government, the Petitioners had moved writ petitions before this Court which were disposed off vide orders dated 25th September, 28th September, 2020 and 29th September. In the said orders, this Court had directed that the Union of India would give an opportunity of hearing to the Petitioners and decide their representation in accordance with law. The operative portion of one of the said orders, is set out below:

"2. It is the case of the petitioner that the registration granted to the petitioner under the Guidelines dated 25.09.2019 was to expire on 17.03.2020. Due to the outbreak of COVID-19 Pandemic, the exporter in China expressed its inability to make the supplies of the poppy seeds within the time granted. The