KARACHI: The Sindh High Court (SHC) issued notices to the Customs department and deputy attorney general on a constitutional petition filed by M/s Tara Imperail Industries Pvt Ltd for refund the amount collected by Customs officials in the name of Regulatory Duty (RD) under section 18 (3) of the Customs Act, 1969 on consignments on steel products. A two-member bench heard the matter on Friday.
During the hearing, counsel for the petitioner stated in its constitutional petition that petitioner is engaged in manufacturing of steel products and imported different type of raw material for manufacture of finished steel products. The petitioner is being commonly aggrieved by the arbitrary, illegal and mala fide actions of the respondents who issued SRO 1035(1)/2017 dated 16/10/2017 in purported exercise of power under section 18 (3) of the customs act and imposed regulatory duty on a number of items including the items imported by the petitioner.
He submitted that on court direction, importers paid half duty with the customs authorities while securing the remaining 50% with the nazir of SHC or customs authorities. After hearing, the court declared act of the respondents as illegal; therefor, importers surety should be refunded.
Citing Ministry of Finance, Chairman Federal Board of Revenue, Collector of Customs Collectorate East, Collector of Customs Collectorate West and Port Muhammad Bin Qasim as respondents, he pleaded the court to direct the respondents to immediately return the security or refund the amount equivalent thereof along with mark-up collected by them from the petitioner and other importers under the order passed by this court.
