| Case ID |
10c5baac-4cbc-4290-bbcb-69c669f51033 |
| Body |
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| Case Number |
Civil Appeal No. 238 of 1999 |
| Decision Date |
Nov 06, 2001 |
| Hearing Date |
|
| Decision |
The Supreme Court of Pakistan upheld the findings of the Lahore High Court, declaring that the Five Years Foreign Currency Bearer Certificate Rules, 1992 were ultra vires the Public Debt Act, 1944 to the extent that they prohibited the issuance of duplicate certificates in cases of mutilation or defacement. The Court recognized the rights of the holder of the Foreign Currency Bearer Certificates to receive duplicate certificates, even if the originals were lost, burnt, or destroyed, in alignment with the provisions of the Protection of Economic Reforms Act, 1992. The Court found that the regulations limiting the issuance of duplicates conflicted with the constitutional rights protecting property and investments, thus ruling in favor of the respondent and validating the issuance of duplicate certificates. |
| Summary |
This case revolves around the legal interpretation of the Five Years Foreign Currency Bearer Certificates and their relation to the Public Debt Act, 1944. The Supreme Court of Pakistan examined whether the rules governing these certificates were consistent with the rights provided under the Economic Reforms legislation. The Court determined that the provisions preventing the issuance of duplicate certificates in cases of loss or damage were not only unjust but also unconstitutional. The judgment emphasized the importance of safeguarding investments in foreign currencies, aligning with the overarching goal of promoting economic security and protecting individual rights. This decision has significant implications for investors and the banking sector, ensuring that holders of such certificates are not deprived of their financial rights due to procedural limitations. The ruling is a landmark case in the realm of financial securities and public debt law in Pakistan. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
STATE BANK OF PAKISTAN,
A.N.Z. Grindlays Bank
|
| Judges |
MUHAMMAD BASHIR,
JEHANGIRI,
MUNIR A. SHEIKH,
RANA BHAGWANDAS
|
| Lawyers |
Abid Hassan Minto,
Ch. Akhtar Ali,
Hamid Khan,
M. Rashid Awan,
Sardar M. Aslam
|
| Petitioners |
STATE BANK OF PAKISTAN, SECURITIES DEPARTMENT, CENTRAL DIRECTORATE through Chief Manager, Lahore High Court
|
| Respondents |
Respondent No. 3,
Respondent No. 2,
JAVED AHMAD
|
| Citations |
2002 SLD 2142 = 2002 CLD 472
|
| Other Citations |
Not available
|
| Laws Involved |
Public Debt Act (XVIII of 1944),
Five Years Foreign Currency Bearer Certificate Rules, 1992,
Protection of Economic Reforms Act (XII of 1992),
Protection of Economic Reforms Ordinance (XXXIX of 1991),
Protection of Economic Reforms Ordinance (III of 1992),
Constitution of Pakistan (1973)
|
| Sections |
2(2)(a)(iii),
11,
11(1 A),
R. 11,
3,
10,
3,
3,
Art. 24(1)
|