The Delhi High Court ruled that importers or exporters cannot be listed in the ‘Denied Entity List’ without proper notice and the opportunity for a hearing, reinforcing principles of natural justice.
Delhi HC Criticizes Lack of Hearing for ‘Denied Entity List’ Inclusion
The Delhi High Court has quashed a communication from the Directorate General of Foreign Trade (DGFT) that placed an importer in the ‘Denied Entity List’ without affording them a proper hearing. The court characterized such an action as tantamount to a 'civil death' for the business involved.
The ruling emphasizes the necessity of following due process before imposing significant restrictions on an entity's ability to conduct business. The court underscored the importance of natural justice, asserting that fair hearing is a requisite component in administrative action.
This judgment is significant for importers and exporters, highlighting their right to contest decisions that impact their operations. Legal professionals engaged in trade law should pay special attention to this ruling, as it reinforces procedural rights and the doctrine of fairness in administrative proceedings.
Citations
- Delhi HC (2026) 1 DLT 100
