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2019 (11) TMI 608

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..... ll control over foreign trade. As an incident of its policy, the State may provide a regime of incentives. The provision of those incentives does not render the State a service provider or the person who avails of the incentives as a potential user of any service. The State, in exercise of its authority to utilise and collect revenue, puts in place diverse regulatory regimes under the law. The regime may provide for modalities for compliance, penalties for breach and incentives to achieve the purpose of the policy. The grant of these incentives does not constitute the State as a service provider. In BIHAR SCHOOL EXAMINATION BOARD VERSUS SURESH PRASAD SINHA [ 2009 (9) TMI 930 - SUPREME COURT] which was decided by a Bench of two judges, the issue was whether the Board of Examinations governed by state law is amenable to the jurisdiction of the District Forum under the Consumer Protection Act, 1986 - Answering the question in the negative, this Court held that the Board is not a service provider and a student who takes an examination is not a consumer. There was an absence of jurisdiction in the District Forum to entertain a complaint under the Act in regard to a claim arisi .....

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..... Disputes Redressal Commission was rejected on 9 October 2006. This was confirmed in revision by the National Consumer Disputes Redressal Commission on 4 April 2012. 7. The principal issue that was canvassed before the SCDRC and in revision was that the consumer fora had no jurisdiction to entertain a consumer complaint on the ground that no service is rendered by the Union Government when it provides incentives under the Exim policy. 8. Mr. D.L. Chidanand, Learned Counsel appearing on behalf of the appellant assailed the decision of the fora on the following grounds : (i) The Exim policy is formulated in pursuance of and as an incident of the fiscal policy of the Union Government and its regulatory control over foreign trade; (ii) The purpose and object of the Exim policy is to encourage exports and to regulate imports by laying down regulatory measures in pursuance of which a scheme of incentives is also made available to exporters; (iii) The benefits which are granted to an exporter do not constitute a service within the meaning of the Act. 9. In support of the submission, reliance has been placed on the decisions o .....

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..... (e) consumer dispute means a dispute where the person against whom a complaint has been made, denies or disputes the allegations contained in the complaint. The expression defect is defined in Section 2(f) : (f) defect means any fault, imperfection or shortcoming in the quality, quantity, potency, purity or standard which is required to be maintained by or under any law for the time being in force under any contract, express or implied or as is claimed by the trader in any manner whatsoever in relation to any goods; The expression deficiency is defined in Section 2(g) : (g) deficiency means any fault, imperfection, shortcoming or inadequacy in the quality, nature and manner of performance which is required to be maintained by or under any law for the time being in force or has been undertaken to be performed by a person in pursuance of a contract or otherwise in relation to any service; 12. Finally, it would be necessary to refer to the expression service which is defined in Section 2(o) :- (o) service means service of any description which is made available to potential users and i .....

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..... of incentives and their administration; and (iv) to simplify and ratioinalise Police and Procedures. These objectives are sought to be achieved keeping in view the constraints of both domestic and external resources. 17. Chapter XIX provided for the Duty Exemption Scheme under which Paragraph 239 provided for a special REP facility in the following terms :- Special REP Facility 239(1) The licence holder under this scheme would be eligible to an REP licence after he has fulfilled the export-obligation and the DEEC has been discharged. The value of the REP licence would be equal to 10 per cent of the value addition achieved (f.o.b. value of exports minus c.i.f. value of imports). The value of the REP licence so calculated would be further limited to the REP entitlement on the total f.o.b. value of exports, as per Appendix-17 or as per para 166(2) (For Residual Products) of this policy, as the case may be. The REP licence so issued will be valid for the import of the items as allowed against the relevant export product in Appendix 17 or para 166(2) of this Policy, at the time of issue of the licence. 18. The objects of t .....

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..... . Answering the question in the negative, this Court held : 12. When the Examination Board conducts an examination in discharge of its statutory function, it does not offer its services to any candidate. Nor does a student who participates in the examination conducted by the Board, hire or avail of any service from the Board for a consideration. On the other hand, a candidate who participates in the examination conducted by the Board, is a person who has undergone a course of study and who requests the Board to test him as to whether he has imbibed sufficient knowledge to be fit to be declared as having successfully completed the said course of education; and if so, determine his position or rank or competence vis- -vis other examinees. The process is not, therefore, availment of a service by a student, but participation in a general examination conducted by the Board to ascertain whether he is eligible and fit to be considered as having successfully completed the secondary education course. The examination fee paid by the student is not the consideration for availment of any service, but the charge paid for the privilege of participation in the examination. .....

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