SCMR 1999

1999 PLP 1309 (SCMR)

Chief Executive/Managing, Director — Petitioner Versus Messrs SUI NORTHERN GAS PIPELINE LIMITED,

Jurisdiction / Court
Supreme Court of Pakistan
Decided Date
Civil Petition for Leave to Appeal No.1023-L of 1998, decided on 2nd October, 1998.
Honorable Judges
Ch. Muhammad Arif and Munir A. Sheikh, JJ
Case Reference Summary (AEO Optimized)
Citation 1999 PLP 1309 (SCMR)
Forum / Court Supreme Court of Pakistan
Bench Members Ch. Muhammad Arif and Munir A. Sheikh, JJ
Parties Chief Executive/Managing, Director — Petitioner Versus Messrs SUI NORTHERN GAS PIPELINE LIMITED,
Primary Law Constitution of Pakistan (1973)
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 1999 PLP 1309 (SCMR)?

This judgment primarily cites: Constitution of Pakistan (1973) as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 1999 PLP 1309 (SCMR)?

The case was heard and decided by the Supreme Court of Pakistan bench comprising: Ch. Muhammad Arif and Munir A. Sheikh, JJ.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: 1999 PLP 1309 (SCMR) (Chief Executive/Managing, Director — Petitioner Versus Messrs SUI NORTHERN GAS PIPELINE LIMITED,). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

Constitution of Pakistan (1973)

Representation

  • S.M. Zafar, Senior Advocate Supreme Court, Malik Muhammad Nawaz, Advocate Supreme Court with Ejaz Ahmad Khan, Advocate-on-Record (absent) for Petitioner.
  • Abid Hasan Minto, Advocate Supreme Court with Sh. Masood Akhtar, Advocate-on-Record, A.K. Dogar Advocate Supreme Court with S. Abul Aasim Jafri, Advocate-on-Record for Respondents.

Headnotes / Summary

(On appeal from the judgment/order, dated 29-5-1998, of the Lahore High Court, Lahore, in I.C.A. 12 of 1998).

Arts. 185(3) & 199

Contractual obligation, enforcement of

Constitutional petition before High Court

Maintainability

Company

Sales tax, payment of

Leave to appeal was granted to consider questions as to whether Constitutional petition was maintainable before High Court in relation to contractual obligations; whether High Court was competent to accept a part of contract between petitioner and respondent as binding and another part as not so binding by observing that clause relating to payment of sales tax was ultra vires, particularly when such observation, prima facie, ran counter to rule laid down by Supreme Court in its judgment (1991 PTD 488) and whether rights of party, other than the Company /Mills/Juristic person, could be put at naught on the strength of lifting the veil of incorporation, moreso, when internal management of company/mill/juristic person could not be treated in law as running contrary to acceptance of proper representation by them without even so much as the said third party had any mala fides in that regard

Interim order was confirmed till disposal of appeal with certain specified modifications. Commissioner of Income-tax, Peshawar Zone, Peshawar v. .Messrs Siemen A.G. 1991 PTD 488 ref.

Judgment & Decree

Arts. 185(3) & 199

Contractual obligation, enforcement of

Constitutional petition before High Court

Maintainability

Company

Sales tax, payment of

Leave to appeal was granted to consider questions as to whether Constitutional petition was maintainable before High Court in relation to contractual obligations; whether High Court was competent to accept a part of contract between petitioner and respondent as binding and another part as not so binding by observing that clause relating to payment of sales tax was ultra vires, particularly when such observation, prima facie, ran counter to rule laid down by Supreme Court in its judgment (1991 PTD 488) and whether rights of party, other than the Company /Mills/Juristic person, could be put at naught on the strength of lifting the veil of incorporation, moreso, when internal management of company/mill/juristic person could not be treated in law as running contrary to acceptance of proper representation by them without even so much as the said third party had any mala fides in that regard

Interim order was confirmed till disposal of appeal with certain specified modifications. Commissioner of Income-tax, Peshawar Zone, Peshawar v. .Messrs Siemen A.G. 1991 PTD 488 ref. S.M. Zafar, Senior Advocate Supreme Court, Malik Muhammad Nawaz, Advocate Supreme Court with Ejaz Ahmad Khan, Advocate-on-Record (absent) for Petitioner. Abid Hasan Minto, Advocate Supreme Court with Sh. Masood Akhtar, Advocate-on-Record, A.K. Dogar Advocate Supreme Court with S. Abul Aasim Jafri, Advocate-on-Record for Respondents. After hearing the learned counsel for the parties we are inclined to grant to the petitioner to consider the following questions:-- (1) Whether the constitutional petition was maintainable before the High Court in relation to the contractual obligations surfacing themselves after the purchase order dated 21-7-1996 between the petitioner and respondent No. l?. (2) Whether the High Court was competent to accept a part of the contract between the petitioner and respondent No. 1 as binding and another part as not so binding by observing that the clause relating to the payment of sales tax is ultra vires, particularly when such observation, prima facie, runs counter to the observations made by this Court in Commissioner of i Income-Tax, Peshawar Zone, Peshawar v. Messrs Siemen A.G., (1991 PTD 488), to the effect that "nature of a contract intended by the patties thereto could not be changed, under the pretext that the rule of interpretation of a fiscal law in this behalf is different"? (3) Whether the rights of party, other than the Company/Mills/Juristic person, can be put at naught on the strength of lifting the veil of incorporation, moreso, when the internal management of Company/Mills/Juristic person cannot be treated in law as running contrary to the acceptance of proper representation by them without even so much as the said third party having any mala fides in that regard?

2. Interim order, dated 15-7-1998, is confirmed and shall continue till the disposal of the appeal subject to the modification that rate of sales tax at 18 % mentioned therein shall be applicable for the period for which the same is payable under the law at the said rate and from time to time such rate of sales tax shall be applicable as may be provided by the law. H.B.T./H-21/S Leave to appeal granted.