Petition filed in Madras HC regarding import of poppy seeds from Turkey

Madras High Court issued notice of motion and ordered interim stay on further processing of import applications

A trader has filed a petition in the Madras High Court challenging processing of applications by the central government through Narcotics Commissioner, Gwalior, related to poppy seeds (Khus khus) imports from Turkey, alleging that it was on a first come first serve basis and there was cartelisation attempted in registration of contract and issue of import perimits for Turkish White Poppy Seeds.

Sri Adinath Traders, an importer and local dealer in spices, has filed the petition against the Secretary, Department of Revenue, Ministry of Finance, the Chairman, Central Board of Excise and Customs (CBEC), The Member, Customs, CBEC and the Narcotics Commissioner of the Central Bureau of Narcotics, in the Madras High Court following another trader received an interim favourable order in a petition filed in the Karnataka High Court on Thursday.

The Madras High Court has directed to issue Notice of Motion to the government and other respondents allowing four weeks time and issued an interim stay on the further processing of applications for registration of contracts and issue of import permits, said the counsel appeared for the trader.

The Karnataka High Court yesterday has directed the government and the Narcotics Commissioner "not to process the applications, which have been received in response to the public notice dated August 18, 2015 calling for applications for granting permission to import of poppy seeds from Turkey on first come first serve basis. In that regard, no action whatsoever shall be taken from this day without orders from this court".

The counsel appeared for the petitioner in Madras High Court said that the petition was seeking to quash the public notice number PS-4/2015 dated August 10, 2015 granting registration fo contracts given by the narcotics commissione4r for import of khus khus from Turkey on first come first serve basis.

The allegation is that the policy announced on August 10, 2015, for purchase of poppey seeds for the year 2015-16, was made known to certain vested coterie of importers earlier and they filed their applications on August 11, within 12 hours from the announcement, even though they where from far off places like Pune and Delhi. The only mode of submitting the applications was by post or courier, the petitioner questioned how these traders were able to submit their applications on the next day itself, said the counsel. He added that the first come first serve basis as a mode of granting licenses was one of the issues raised in the 2G spectrum allocation case also.

The petitioner also alleged that earlier a public notice pertaining to registration of sale contracts for import of poppy seeds from China and Czech Republic, had given 27 clear days for submitting applications whereas no time has been given for registration of sale contracts for import of poppy seeds from Turkey. The entire procedure for registration of sale contracts for import of poppy seeds from China and Czech republic vis-à-vis Turkey are entirely different, it added.

The process was to issue contracts for imports of around 18,750 metric tonne of Khus khus to the country from Turkey. The process was initiated after an Allahabad Court earlier directed the government to fix the quantity of khus khus to be imported from Turkey, following a petition by the growers in India.