| Case ID |
f99a08cc-5946-46e5-83ad-edc8a38f5a44 |
| Body |
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| Case Number |
Civil Petitions Nos.857-K and 858-K of 2002 |
| Decision Date |
Apr 07, 2003 |
| Hearing Date |
Jan 13, 2003 |
| Decision |
The Supreme Court upheld the decision of the High Court, determining that the petitioners' financial liability regarding the foreign currency loan remained outstanding despite their previous agreement. The court clarified that the Presidential Order No. 3 of 1982 superseded prior judgments and agreements, establishing that the rate of exchange for repayment would be based on the prevailing rate at the time of actual payment. The court emphasized that as long as the respondents' right to seek recovery was alive, the transaction could not be deemed past and closed, thus confirming the petitioners' obligation to repay the loan under the new terms set forth by the Presidential Order. |
| Summary |
This case involves a dispute over the repayment of a foreign currency loan under the Foreign Currency Loan (Rate of Exchange) Order of 1982. The Supreme Court of Pakistan examined the implications of this Order on pre-existing agreements between the parties. The petitioners, Messrs Burjor Arshir Industries Limited, contended that their liability was discharged following a previous High Court decision. However, the Supreme Court ruled that the Presidential Order had overriding effect, confirming the respondents' right to claim outstanding amounts based on the exchange rate at the time of payment. The judgment emphasizes the importance of statutory provisions in determining financial liabilities and the implications of agreements made prior to such legislation. This case highlights the complexities involved in financial agreements, particularly in the context of foreign currency transactions and the impact of governmental orders on private contracts. |
| Court |
Supreme Court of Pakistan
|
| Entities Involved |
Messrs BURJOR ARDSHIR INDUSTRIES LIMITED,
PAKISTAN INDUSTRIAL CREDIT AND INVESTMENT CORPORATION
|
| Judges |
RANA BHAGWANDAS,
SYED DEEDAR HUSSAIN SHAH,
MUHAMMAD NAWAZ ABBASI
|
| Lawyers |
G.H. Malik, Advocate Supreme Court,
Sher Muhammad Khan, Advocate-on-Record (absent),
K.A. Wahab, Advocate-on-Record (absent)
|
| Petitioners |
Messrs BURJOR ARDSHIR INDUSTRIES LIMITED
|
| Respondents |
PAKISTAN INDUSTRIAL CREDIT AND INVESTMENT CORPORATION
|
| Citations |
2003 SLD 603,
2003 SCMR 1274
|
| Other Citations |
Not available
|
| Laws Involved |
Foreign Currency Loan (Rate of Exchange) Order
|
| Sections |
3,
4(2)
|