3682/2016 Const. P. Samad Pipe Ind (Petitioner) V/S Fed. of Pakistan 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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3682/2016 Const. P. Samad Pipe Ind (Petitioner) V/S Fed. of Pakistan 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: 01-OCT-21 Re-validation notice of bank guarantee was issued after a year of provisional assessment and unless final assessment or determination is made and placed for consideration, this re-validation notice of bank guarantee would be of no consequence i.e. even if it is revalidated there cannot be a question of its (bank guarantees) encashment on account of lapse of time for determining the duties and taxes finally in terms of Section 81 of Customs Act, 1969, as it prevailed at the relevant time. -- Had it been a case of final determination or final assessment, there was no occasion of releasing of consignment on securing differential amount through bank guarantee. The department should have asked for entire amount as being determined finally. This being the core issue, no satisfactory explanation was forwarded by respondents counsel for not complying with the requirements of Section 81 of the Customs Act, 1969.
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