SHC releases used imported cars
The Sindh High Court building. PHOTO: FILE
The Sindh High Court ordered on Friday the release of thousands of used imported vehicles stuck at the Karachi Port due to policy issues and after the payment of applicable dues.
A three-member bench comprising Justice Shafi Siddiqui, Justice Muhammad Iqbal Kalhoro and Justice Adnan Iqbal Chaudhry ruled on a set of pleas seeking the release of vehicles after payment of the applicable duties and taxes.
Although the import of new vehicles is allowed after the payment of applicable duties and taxes, the import of used vehicles has been banned in Pakistan, with the exception of transfer of residence, gift or personal luggage.
Besides, the government has set a three-year age limit, beginning from the date of manufacture, for vehicles categorised as ‘new’.
Gifted vehicles are subjected to the condition that the payment is made through the account of the person gifting them or the account of an expatriate Pakistani gifting it or through the account of the Pakistani national, who is bringing the vehicle in their personal luggage.
The Pakistani national is also required to provide an International Bank Account Number (IBAN).
Given these restrictions, at least 2,000 used vehicles have been stuck at the Karachi Port. The customs department and the port authorities have urged the Federal Board of Revenue (FBR) to devise a mechanism to clear the vehicles from the port.
Earlier, there was a disagreement between two benches with one two-member bench maintaining that there was a ban on the import of used vehicles and the other directing the release of vehicles.
Acting on judicial directives issued by the latter, the customs, federal excise, sales tax and income tax department of the Federal Ministry of Finance and Revenue notified in 2018 the exemption of vintage or “classic cars” and jeeps meant for the transport of persons from the payment of customs duty, regulatory duty, additional customs duty, federal excise duty, sales tax and withholding tax as are in excess of the cumulative amount of US dollars five thousand per unit.
Vintage, classic cars and jeeps were defined as old and used automotive vehicles, under the First Schedule to the Customs ACT 1969, manufactured prior to January 1968.
After the different rulings by the two benches, the matter was referred to SHC Chief Justice Ahmed Ali Shaikh, who constituted a larger special bench.
At the hearing on Friday, the larger bench approved the release of used vehicles after the payment of relevant duties and taxes.
Disposed of
Meanwhile, a two-member bench comprising Justice Salahuddin Panhwar and Justice Adnanul Karim Memon disposed of a constitutional petition seeking the ban of two-finger test in rape cases.
The Sindh health department informed the court that the two-finger test has been abolished and a notification has been issued in this regard. Besides, 220 female medico-legal officers (MLO) were being recruited by the health department.
Recording the Sindh health department’s response, the bench disposed of the petition.
Earlier this year, the Supreme Court of Pakistan outlawed the invasive two-finger test, terming it unconstitutional. The Lahore High Court has also ruled against it.
Contempt plea
The same bench issued contempt notices to Sindh Chief Secretary Mumtaz Ali Shah, Sindh Labour Minister Saeed Ghani, Sindh Employees’ Social Security Institution (SESSI) head Muhammad Ashfaque Mahar, Sindh Labour Secretary Rashid Ahmed Solangi, SESSI Administration Director Nadir Hussain Qanasro and SESSI Deputy Director Asif Dawood, over a plea pertaining to non-removal of own pay scale (OPS) and additional charge officers despite court orders.
The petitioner’s counsel stated that SESSI director and deputy director were junior officers given the additional charge of a higher BS-Grade and posted on OPS. The lawyer maintained that the court had restrained the defendants from taking action against the petitioner but his client was still reprimanded.
The bench issued contempt notices to the relevant officials and adjourned the hearing till September 15.
Notices issued
Separately, hearing a contempt plea against the razing of leased houses despite stay orders issued by the court along Gujjar Nullah, the SHC issued contempt notices to the relevant officials.
Irked at the demolition of leased houses under the garb of the ongoing anti-encroachment campaign, the court issued contempt notices to the relevant officials. Besides, the court sought replies from the Katchi Abadi Authority director and assistant director of the Karachi Development Authority by September 21.
Published in The Express Tribune, September 11th, 2021.