KARACHI: The Sindh High Court (SHC) has directed the customs authorities to release the consignment of imported “prime newly produced hot rolled steel round bars” upon payment of duties and taxes through pay order or bank guarantee.
A division bench of the SHC headed by Chief Justice Sajjad Ali Shah heard the application filed by Prime Steel House.
During the hearing, the petitioner’s counsel stated that the petitioner is ready to pay differential amount through pay order or bank guarantee. He also stated that petitioner ranks among the top steel traders in the country and imported a consignment totaling 336.206 metric tons of “prime newly produced hot rolled steel round bars” from China vide Cumic Steel Limited Hong Kong bearing HS Code 7228.3090, which is confirmed in the certificate of origin and at the rate of $328/-per metric ton.
According to the petitioner, importer is seriously aggrieved by the action of the Model Customs Collectorate-East, as it has allegedly enhanced the rate of the imported item from a rate of $328 to a range between $412.9.
“Such action is done without assigning any reason, and on the basis of formulated, the respondent has conveniently agreed upon without consulting any of the stakeholders including the petitioner,” the petitioner added.
The importer submitted that only if it is proven that the transactional value of the petitioner is incorrect or through violation of rules than any item can be determined for custom clearing purpose. But there is neither violation of rules g on the imports of the petitioner nor the petitioner confronted that its transactional value is incorrect.
Citing secretary revenue division, chairman FBR and Customs Collectorate-East, as respondents, the petitioner prayed to the SHC to set aside the impugned order.