JUDGMENT

Alok Aradhe, CJ. - This intra court appeal is filed against the order dated 11.06.2012 passed by the learned Single Judge by which the learned Single Judge has allowed the writ petition preferred by respondent No.1 and has inter alia held that Regulation 5(2) of the Handling of Cargo in Customs Areas Regulations, 2009 has no legal substratum to survive and held that consequential levy made on respondent No.1 towards cost recovery charges is wholly unsustainable. The dispute in this appeal pertains to cost recovery charges between the years 2008 and 2013. In order to appreciate the challenge of the appellants to the impugned order, the relevant facts need mention which are stated infra.

2. In the year 1999, the Government of India (GoI), Airports Authority of India (AAI) and the erstwhile Government of Andhra Pradesh (GoAP) agreed to set up a new Greenfield International Airport at Hyderabad on Public Private Participation basis. On 26.06.2002, guidelines were issued vide Circular No.34/2002 by Central Board of Excise and Customs for appointment of Custodian of Sea Ports and Air Cargo Complexes. A tender was issued in which respondent No.1 (hereinafter referred as 'the Compan