Containers transporting sugar to Afghanistan: SC dismisses collectorate’s plea

ISLAMABAD: The Supreme Court Wednesday dismissed Customs Collectorate appeal to stop containers that were transporting sugar to Afghanistan.

Raja Muhammad Iqbal, representing the Customs, informed that the department had instructed him to withdraw the petition.

Therefore, he requested the bench to allow him to do so.

A three-judge bench, headed by Justice Umar Ata Bandial, which heard Customs Collectorate appeal against the Sindh High Court verdict, accepting the request dismissed the plea as withdrawn.

Justice Bandial said it is an important matter, adding; “We should ensure the legal regime and the international obligations.”

In the last hearing, the judge had questioned under what law the Customs officials have started checking goods quality at the borders.

Farid Asif Ltd, the owners of the containers, informed the bench that detaining of containers at the Karachi port had caused him huge loss.

Upon that Justice Mazhar Alam told him that he can approach other forums for redressal of grievance.

The Customs department in June 2019 had stopped containers loaded with sugar.

The officials had cleared 92 containers out of total 354 containers.

Farid Asif Ltd, therefore, approached the Supreme Court to pass order for release of 262 containers detained at Karachi port since last year.

A division bench of Sindh High Court (SHC) comprising Justice Aqeel Abbasi and Justice Mahmood A Khan in December 2019 had allowed the safe transit of 262 containers of sugar, detained at port on the pretext of being unfit for human consumption, to Afghanistan in accordance with the relevant laws.

M/s Farid Asif Limited and M/s Sadiq Muslim Limited, based in Afghanistan had filed the petition in the Sindh High Court.

It was their contention that they imported 354 containers of sugar under the Afghanistan Pakistan Transit Trade Agreement (APTTA) 2010 from India in June 2019.

The Customs authorities cleared 92 containers, but detained remaining 262 containers on grounds that sugar in these containers is not fit for human consumption.

The petitioners contended that the question arises in such circumstances as to why the remaining containers have been detained, when 92 containers of the same commodity were released or cleared.

The petitioners also raised the questions on the jurisdiction of Customs, and stated that under the Customs Act 1969 read with Customs Rules 2001 (Chapter XXV) and APTAA 2010, the respondents have no jurisdiction to appraise, examine and test the consignments meant for Afghan transit except in accordance with Chapter XXV of the Customs Rules, 2001 inserted through SRO 601(I)/2011 dated 13-06-2011.

The very act of the respondents to scrutinise the subject consignments based on some alleged "credible information" is not only prima facie malicious but is also in clear violation of the applicable laws and rules, and argued that the actions of the respondents cannot be deemed to be legal by any stretch of imagination.

The petitioners requested the court to declare that they are entitled to delivery of cargo comprising of 262 containers sugar declared through GDs imported for transit to Afghanistan as well as declare that the actions of confiscation/detention of consignments of 262 containers is absolutely illegal, unlawful, and untenable in the eyes of law.

The petitioners also urged the court to declare the show-cause notices issued under the Customs Act, 1969 for detention of their cargoes of sugar comprising 262 containers to be illegal, unlawful, null and void and direct the respondents to immediately release the subject consignments comprising 262 containers as well as withdraw the notices issued.

Copyright Business Recorder, 2020