Government may amend NTC law in light of Supreme Court judgement
The federal government is likely to amend National Tariff Commission (NTC) Act, according to which powers of the Commission will be delegated to the members of the Commission that will be binding on all the stakeholders, official sources told Business Recorder.
NTC, established under the NTC Act, 1990, is responsible to advise the Government on protection of domestic industry, mainly through appropriate adjustments in import tariffs and carry out anti-dumping investigations/determination to check and curb illegal dumping of imported goods under the Anti-dumping Ordinance, 2000. Section 5 of the NTC Act, 1990 envisages that the Commission consists of Chairman and two Members. Section 7 of the Act authorises the Chairman of the Commission to distribute business of the Commission among its Members.
Sources said that the Supreme Court in its judgement on October 29, 2009 in the case of importers/exporters of porcelain/ceramic tiles against the imposition of anti-dumping duty on porcelain/ceramic tiles, held that the Commission comprises the Chairman and two members and there is no provision of quorum. Therefore, any order/determination made by the Chairman and one member cannot be termed as a decision of the Commission. The Court interpreted section 7 of the Act in the light of same connotation.
The Supreme Court''s interpretation of Section 5 and 7 of the Act ibid has created serious administrative/legal implications with regard to the investigative/adjudicatory role of Commission. According to sources, most of the time it is neither administratively possible nor convenient to muster the support of all the three members of the Commission (including Chairman) for every single matter under investigation/adjudication. Besides, retirement/transfer of any of the members of the Commission may also cause legal incompetence for the Commission to hand down final decisions in pending cases/investigations. Keeping in view the decision of Supreme Court, the NTC proposed following amendments in Section 5 and 7 of the NTC Act, 1990:
[New Section] "5A: Manner of Disposal of Case. Notwithstanding anything contained in this Act, all or any of the powers of the Commission under this Act may be delegated to any of the two Members of the Commission who shall exercise the powers so delegated which shall have the same sanctity and shall be binding in the same manner as if the same is exercised by the Commission. "Explanation-in this section two Members means the Chairman and a member or both the members of the Commission."
[New Section] "7A. Distribution of Powers:- Notwithstanding anything contained in Section 5, the Chairman may distribute the business of the Commission amongst its members pertaining to Commission''s determinations about initiation, preliminary or final orders and decision of the Commission in cases falling within the jurisdiction of the Commission. Such determination or decision shall be considered as decision of the Commission, even if signed by any of the two members of the Commission."