| Case ID |
42d347cc-4a98-497b-8c4e-cb0053e3f8d0 |
| Body |
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| Case Number |
Civil Appeals Nos. 654 to 658 of 1998 |
| Decision Date |
Sep 25, 2003 |
| Hearing Date |
Sep 25, 2003 |
| Decision |
The Supreme Court of Pakistan accepted the appeals against the judgment of the High Court of Balochistan which had dismissed the appellants' Constitutional Petitions. The Court ruled that the notification dated 11.11.1997, which withdrew the concession of octroi on cotton, was declared unlawful. The principle of promissory estoppel was applied, affirming that the concession granted through the notification dated 2.8.1995 could not be revoked during its effective period. Therefore, the octroi tax should continue to be charged at the rate specified in the earlier notification. |
| Summary |
This case revolves around the appeals filed by M/S FRIENDSHIP TEXTILE MILLS against the government concerning the octroi tax on cotton bales. The Supreme Court of Pakistan addressed the legality of the withdrawal of a previously granted concession under the Customs Act, affirming the applicability of the principle of promissory estoppel. The Court found that the appellants had a legitimate expectation based on the earlier notification which established a fixed rate for a specific period. The decision highlighted the importance of adhering to statutory procedures for tax levies and reaffirmed that concessions granted should not be revoked arbitrarily, ensuring the protection of business interests within the legal framework. This ruling is significant for businesses relying on governmental concessions and the principle of lawful authority in tax matters. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
GOVERNMENT OF BALOCHISTAN,
M/S FRIENDSHIP TEXTILE MILLS
|
| Judges |
MUNIR A. SHEIKH,
RANA BHAGWANDAS,
FAQIR MUHAMMAD KHOKHAR
|
| Lawyers |
Mr. Fakharuddin G. Ibrahim, Sr. ASC,
Mr. Akhtar Alt Mehmood, ASC,
Mr. Salahuddin Mengal, A.G. Balochistan,
Mr. Muhammad Ibrahim Sathi, ASC
|
| Petitioners |
M/S FRIENDSHIP TEXTILE MILLS
|
| Respondents |
GOVERNMENT OF BALOCHISTAN
|
| Citations |
2004 SLD 3167,
2004 PLJ 309
|
| Other Citations |
PLD 1970 SC 439,
1986 SCMR 1917
|
| Laws Involved |
Customs Act, 1969,
General Clauses Act, 1897,
Constitution of Pakistan, 1973
|
| Sections |
31-A,
21,
185
|