- (1.) Leave granted.
(2.) Constitutionality of Sub-sections (2) and (3) of Section 18 of the Foreign Exchange Regulation Act, 1973 (for short "the Act") is in question in this appeal which arises out of a judgment and order dated 30.07.2007 passed by the High Court of Judicature at Bombay in Criminal Writ Petition No. 336 of 2007.
(3.) Appellant No. 1 herein is a partnership firm and Appellant No. 2 is its partner. Appellant No. 1 used to export garments and textiles to various countries. It allegedly could not repatriate the value of goods from the export proceeds. According to the appellants, whereas export to developed economies like US, UK, Europe and Japan, on credit basis, does not undergo severe competition and very minimal profit margin can be maintained, export to the less developed countries or the countries with poor legal system earn greater profit margin.;