KARACHI: The Sindh High Court (SHC) directed customs officials to release consignment of electro galvanized steel sheets of secondary quality imported from South Korea on securing bank guarantee/ pay order on a constitutional petition filed by Muhammad Iqbal, proprietor of Crystal Enterprises.
On 3 October 2020, a two-member bench also directed customs officials not to encash the bank guarantee/ pay order till further orders by the court.
During the hearing, Asad Anwer Alavi advocate appeared on behalf of petitioner and argued that petitioner has imported consignment of electro galvanized steel sheet of secondary quality from South Korea by declaring the same under PCT Heading No HS. Code 7210.3010 at unit price US$0.38 per kg.
He further submitted that however, respondents have assessed the same at unit price US$0.61 per kg, as per value given in LME (London Metal Exchange), instead of accepting the transactional value of the petitioner or in case of dispute, to follow the sequential method in terms of section 25 of the customs act, 1969, as per decision of this court as well the decision of Supreme Court in this regard.
Counsel further argued that the petitioner may filed an appeal against such illegal and arbitrary assessment made by the respondents by filing an appeal before the statutory forum, however, request that in order to avoid demurrage charges, respondents may be directed to allow provisional release of consignment as the petitioner is willing to secure disputed amount of duty and taxes by way or pay order or bank guarantee before the concerned collectorate, who may be directed not to encash the same till further order by this court.
After the hearing, the court issued notices to the customs officials and also directed them to release the importer’s consignment on bank guarantee/ pay order and not to encash the same till further orders.
