- (1.) This is an appeal under Section 54 of the Foreign Exchange Regulation Act, 1973, from a decision of the Foreign Exchange Regulation Appellate Board dated January 31, 1971. The appeal lies only on questions of law. There was a corresponding provision in Section 23EE of the Foreign Exchange Regulation Act, 1947. The Appellant before the Appellate Board was M/s Linotype and Machinery Ltd. In the memorandum of appeal before this Court filed by the Union of India, Linotype Machinery Ltd. is described as a company incorporated under the appropriate laws of England having its registered office at Altrinehan, Cheshire, England. It is common case that the said company has a branch office, inter alia, at 14 Madan Street in Calcutta within the original jurisdiction of this Court.
(2.) The said company's appeal before the Appellate Board was against an order of the Directorate of Enforcement holding the Appellant company guilty of contravening the provisions of Section 4(1) 9 of the Foreign Exchange Regulation Act, 1947, read with the Central Government Notification No. FI/(67)-EC/57 dated September 25, 1958 and imposing on them a penalty of Rs. 50,000. The Directorate of Enforcement also ordered the company to repatriate the foreign exchange, which formed the subject-matter of the proceedings through authorised channel.
(3.) The company, as we have stated, is a company incorporated in the United Kingdom. It is a subsidiary of a U.S. company.;