Auto Pin India (Regd.) And Anr. vs Director Of Enforcement Of ...
2001 Latest Caselaw 146 Del

JUDGMENT

R.S. Sodhi, J.

1. This criminal appeal is directed against the judgment and order dated 8.9.1982 of the Foreign Exchange Regulation Appellate Board whereby the Board has held

that as far as Show Cause Notice V is concerned, that loan was given to the appellant, Shri Gill, on 14.6.1974 i.e. after the 1973 Act came into force on 1.1.974. So far as the loan mentioned in Show Cause Notices II to IV are concerned, the definition relied upon by the counsel will not be of much assistance. The accepted legal principle is that a penal statute should be strictly construed and the concept of a person resident in India, being an innovation introduced in the 1973 Act, it will not be correct to read the idea underlying the definition contained in Sec. 2(p) of the 1973 Act into the 1947 Act. Accordingly, the Show Cause Notices II to IV were held to be in violation of the Act. The learned Appellate Board, however, gave benefit of the definition ascribed to a person resident in India as per the 1973 Act in respect of other notices.

2. Learned counsel for the appellant has drawn my attention to the judgment of this Court in Criminal Appeals No. 120, 121/75 K.N. Mehta, Mrs. Sarswati v. Director, 1982 Rajdhani Law Reporter 644 wherein this court has held that the definition of "a person resident in India" given in the 1973 Act would extend to the 1947 Act as well. The matter, therefore, stands concluded by the judgment of the learned Single Judge of this Court in Criminal Appeal Nos. 120, 121/75. I find, therefore, that the Appellate Board has erred in so far as it has held that the Notices II to IV are not covered by (he definition given in the 1973 Act. In this view of the matter. I set aside the finding of the Appellate Board pertaining to Show Cause Notices II to IV and hold that the definition as defined in the 1973 Act would be applicable to the 1947 Act and benefits thereof must go to the appellant. The fine deposited will be refunded to the appellant.

Crl. A. 211/1982 stands disposed of.