KARACHI: A two-member bench of the Sindh High Court (SHC) restrained customs officials from taking any adverse action against importers regarding impugned show cause notices issued by Additional Collector of Customs Adjudication-II on a constitutional petition filed by several importers including M/s Fazal Nazir Printing Press.
On 6 February 2021, while the hearing of the petition, the court also issued pre-admission notices and directed customs officials to submit their respective para wise comments on the next date of hearing.
During the hearing, counsel for the petitioners stated that petitioners are doing businesses of import, manufacturing and supply of taxable goods having description paper and paper board products, paper and paperboard for writing, printing art and other graphics purposes covered in two main HS Code 48. 02 for uncoated and 48.10 for coated.
Counsel submitted that petitioners have imported of subject goods from China in respect of which the competent Chinese certifying authority after assessing the eligibility and entitlement of imported goods for their clearance under FTA tariff concession/ exemption of customs duty had issued the certificates of origin as per agreed procedure which were duly submitted with the goods declarations and the same neither been confronted by the appraising officer nor matter was taken up with the Chinese authorities for clarification regarding genuineness of such certification as provided in the rule 21 and 22 of the attachment A of the rules of origin of Pak-China FTA.
Counsel argued that petitioners had filed goods declarations under section 79 of the customs act, 1969, wherein, correct declarations of description and classification HS Code 4810. 1910 of the subject goods as per long-standing practice of custom were made subject to checking by appropriate customs officers regarding their correctness under their supervisory jurisdiction provided under section 80 of the customs act, 1969 who passed assessment orders under section 80 of the customs act, 1969 after being satisfied that declarations of the petitioners including description and classification of subject goods under HS Code 4810.1910 as was as entitlement of their clearance under FTA.
Counsel further informed that however, petitioners were shocked, when they were served show cause notices without considering the dispute of classification.
Citing Chairman FBR, Chief Collector of Customs Appraisement South and MCC Appraisement East as respondents, petitioners pleaded the court to declare that the issuance of impugned show cause notices and proceedings emanating thereon in respect of past consignments of subject goods of the petitioners classified and assessed as per long-standing departmental practice under HS Code 4810.1910 are illegal, lacks jurisdiction having patent illegality and perversity manifest from the case record.
