| Case ID |
40e7c58e-35a0-4292-9eab-c500f30cebfc |
| Body |
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| Case Number |
D-2125 of 2001 |
| Decision Date |
Sep 27, 2005 |
| Hearing Date |
Sep 29, 2004 |
| Decision |
The Sindh High Court dismissed the constitutional petition filed by Messrs Nasser Brothers (PVT.) Limited regarding the exemption from central excise duty for imported lubricant oils and grease. The court ruled that the withdrawal of the exemption prior to the arrival of the goods in Pakistan was valid, and the petitioner had not acquired a vested right to the exemption. The decision highlighted the applicability of section 31-A of the Customs Act, which nullified any earlier rights claimed by the petitioner. The court emphasized that the amendment to the Central Excise Act, which came into effect before the arrival of goods, meant that the execution date of the purchase contract was irrelevant. Therefore, the petitioner was not entitled to any exemption from excise duty. |
| Summary |
In the case of Messrs Nasser Brothers (PVT.) Limited vs. Federation of Pakistan, the Sindh High Court examined the constitutional petition concerning the exemption from central excise duty on imported lubricant oils and grease. The court found that the exemption, which was initially available under S.R.O. 454(I)/96, was withdrawn before the goods arrived in Pakistan. The petitioner argued that they had acquired vested rights to the exemption based on their purchase contracts and the establishment of Letters of Credit. However, the court ruled that the legislative changes, particularly the introduction of section 31-A of the Customs Act, rendered the previous rights claimed by the petitioner invalid. The judgment underscored the importance of compliance with current laws and the effects of amendments on existing contracts. This case serves as a key reference for issues related to excise duty exemptions and the impact of legislative changes on contractual obligations. |
| Court |
Sindh High Court
|
| Entities Involved |
FEDERATION OF PAKISTAN,
Messrs NASSER BROTHERS (PVT.) LIMITED
|
| Judges |
SABIHUDDIN AHMAD, C.J.,
KHILJI ARIF HUSSAIN, J
|
| Lawyers |
Muhammad Siddique Mughal,
Nadeem Azhar, D.A.G.,
Raja Muhammad Iqbal,
Ataur Rehman
|
| Petitioners |
Messrs NASSER BROTHERS (PVT.) LIMITED
|
| Respondents |
FEDERATION OF PAKISTAN,
,
Secretary, Ministry of Finance, Islamabad
|
| Citations |
2006 SLD 1858,
2006 PTD 39
|
| Other Citations |
1986 SCMR 1917,
2002 PTD 121,
1998 SCMR 1404
|
| Laws Involved |
Central Excise Act, (I of 1944)
|
| Sections |
3
|