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M/s QMobile moves SHC for refund of Rs84.923m fine and Rs2m penalty

M/s QMobile moves SHC for refund of Rs84.923m fine and Rs2m penalty

KARACHI: M/s Digicom Trading Private Limited (Q Mobile phone company) approached the Sindh High Court (SHC) and filed another petition for refund of Rs84.923 million imposed on the company as fine and Rs2 million as penalty regarding seizing of thousands mobile phones due to alleged smuggling and mis-declaration.

On December 21, 2018, counsel for the petitioner stated that on December 17, 2017,  a consignment of four containers declared to contain LED lights were imported in the name of petitioner’s company and cleared through green channel facility, on account of some conspiracy by some unscrupulous elements, wrong shipment of mobile phones was made by UAE based shipper, 27,137 mobile phone sets purportedly recovered from one of the container were seized by the staff of Customs Preventive while remaining 78,160 sets of QMobile purportedly de-stuffed from remaining three containers were seized by the customs officials on the charges of smuggling and mis-declaration.

He submitted that a show cause notice was issued to the petitioner and petitioner submitted reply, however, fine equivalent to 35% of value of the goods was imposed beside penalty of Rs2 million each in addition to payment of leviable duty and taxes. It may be mentioned that a consolidated amount of Rs300 million was voluntarily deposited by the petitioner for leviable duty and taxes in advance.

He argued that pay order for redemption fine amounting to Rs84.923 million and post-dated cheques for impugned penalty of Rs2 million were submitted by the petitioner whereby the goods seized by the respondents were released after submission of necessary NOC from Pakistan Telecommunication Authority (PTA).

He argued that, meanwhile, the FBR has issued SRO 1455(1)/2018 whereby mobile device with SIM or IMEI functionality brought into Pakistan in violation of the provisions of clause (s) of section 2 of the Customs Act, 1969 which have been seized or voluntarily presented to customs authorities on or before 31/12/2018 shall be allowed and would be released on payment of applicable duty and taxes payable thereon with imposition of zero fine. That petitioner is ready to avail the benefit of the scheme given under SRO 1455(1) 2018 read with CGO 06/2018.

He said that in pursuance of the afore-mentioned notification, application was filed in before custom officials for refund of amount of fine and penalty which were deposited as securities pending judgment of the appellate tribunal in the matter, and extending the benefit of afore said notification.

Citing Chairman Federal Board of Revenue, Collector of Customs Preventive, Collector of Customs Preventive West as respondents, importer pleaded the court to declare the petitioner is entitled to the benefit of the amnesty provided under SRO 1455(1)2018, direct them to refund above mentioned amount as fine and as penalty.

He also pleaded the court may restrain them from taking any coercive action including blocking of NTN/ User-ID of the petitioner.