STATE OF WEST BENGAL vs M/S. VEEJAY INTERNATIONAL (INDIA) .

The Supreme Court upheld the Calcutta High Court's ruling that clauses 9 and 10 of the West Bengal Rice and Paddy Control Order, 1997, issued under the Essential Commodities Act, 1955, are contrary to the policy established under the Foreign Trade Development and Regulation Act, 1992. The Court emphasized that the Central Government's powers under Section 5 of the Foreign Trade Act do not permit interference with its own declared policy on import and export. Consequently, the notification was deemed invalid, affirming the High Court's decision.