2616/2018 Const. P. M/s Sea King Shipping (Petitioner) V/S Asstt: Collector of Custom and Ors (Respondent)

Sindh High Court2021

Bench: Hon'ble Chief Justice Mr. Justice Muhammad Shafi Siddiqui(Author), Hon'ble Mr. Justice Agha Faisal

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2616/2018 Const. P. M/s Sea King Shipping (Petitioner) V/S Asstt: Collector of Custom and Ors (Respondent) Sindh High Court Bench: Hon'ble Chief Justice Mr. Justice Muhammad Shafi Siddiqui(Author), Hon'ble Mr. Justice Agha Faisal Order Date: 24-SEP-21 Section 202 of Customs Act, 1969 does not extend its arms against a clearing agent acting in good faith without any collusion or negligence to cause financial loss to national exchequer. As observed, neither a show-cause was issued nor the assessment order declared such terms of recovery to be made against clearing agent. In fact the importer failed to substantiate his declared value in terms of Section 25 of the Customs Act, 1969 read with Rule 109 of the Customs Rules, 2001. The declared value may have varied with the advice of Director General Customs Valuation however, the connivance of clearing agent to cause losses to national exchequer is missing. Not all such Goods declarations be categorized as false or untrue statement and hence require a burden to be discharged by customs officials, if such is attributed separately against importer and clearing agent. Not necessarily a declared value, which is objected by the customs officials be always considered to be a willful act of causing losses to national exchequer in terms of duties and taxes, however, a mechanism is provided to levy duties and taxes in terms of transactional value i.e. price actually paid or payable for the goods under section 25 of Customs Act, 1969 when sold for export from Pakistan, subject to provisos therein
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