KARACHI: The Sindh High Court (SHC) has dismissed a petition filed by Asim Javad, managing partner of M/s Esskay and Sons, against imposition of 5 percent regulatory duty on some iron and steel products such as “flat rolled products of iron – allay steel “.
A two-member bench, headed by Chief Justice Sajjad Ali Shah, heard the petition. During the hearing, both sides stated that the dispute in the matter pertains to regulatory duty, which was decided by the court in its details judgments in a number of cases. Therefore, petition may be disposed of accordingly in the terms of the judgment of this court is the stated case, which has been upheld by the apex court.
After arguments from the both sides, the court dismissed the petition and ordered that the differential amount deposited by the petitioner with the nazir of this court, is directed to be released in favour of the respondents after proper verification.
Earlier petitioner’s counsel stated that petitioner has entered into a contract with the supplier/shipper namely M/ s Win Faith Trading Limited through a sales contract for parchase of “cold rolled coils (prime quality ) and after the all formalities goods have arrived in international waters of Pakistan. He argued that the above goods have been imported on ” free trade agreement between government of Pakistan and government of China for which the government of Pakistan has issued a notification vide SRO 659 (1)/2007 dated 30/06/2007 in terms of the above notification, the rate of customs duty in 5% under serial no 2997 and 2999 read with column no 9 to the table to the said notification, accordingly the government of China has issued FTA certificate.
Petitioner said that, however, Secretary Ministry of Finance amended in the SRO 18 (1) /2015 dated 14/01/2015 and amendments in SRO 568 (1)/2014 dated 26/06/2014 ,whereby 5% regulatory duty has been imposed on some iron and steel products which is violation of the agreement between Pakistan and China dated 24/11/2006 and the notification no 659 (1)/2007.
Citing secretary Ministry of Finance, chairman FBR, collector of Customs Model Customs Collectorate East, West as respondents, petitioner pleaded the SHC may set aside impugned demand notice and restrain the respondents from taking any coercive action against the petitioner.
