1995SCMR209 (PLP)

SAEEDUZZAMAN SIDDIQUI, J.

The above petition for leave to appeal is filed by the Government against the order of the Sindh High Court dated 24-3-1992. By the impugned order, a Division Bench of the High Court of Sindh quashed the impugned letters/orders dated 14-1-1989 and 19-12-1989 issued by Central Board of Revenue, Islamabad to the Controllers of Customs, Karachi, Lahore, Quetta and Peshawar. The learned Judges of the High Court declared that the impugned letters were issued illegally and without lawful authority in violation of section ,16 of the Customs Act. We have heard the learned Deputy Attorney-General for the Government of Pakistan (petitioner) and Mr. Khalid Ishaque for the respondents at the leave granting stage and after hearing them converted the petition into a regular appeal and disposed of the same in terms of the following order It is an admitted position in the case that on 14th January, 1989 and 19th of December, 1989, the Central Board of Revenue addressed a letter to the Collector of Customs at Karachi, Lahore, Quetta and Peshawar in which it was stated that Government of Pakistan has decided to ban the import of tyres by Kabul regime under the Transit Trade Agreement with effect from 15-12-1988. In the first-mentioned letter, it was stated that the aforesaid decision of banning import of tyres by the Kabul regime under the Transit Trade Agreement will not be applicable to consignments, for which L/Cs have been opened before 15th of December, 1988. In the second mentioned letter dated 19th of December, 1989, it was stated that transit facility shall not be allowed in respect of tyres for which the letters of credit were opened on or before 15-12-1988. Both these letters were held by the learned Judges of High Court of Sindh as violative of the provisions of section 16 of the Customs Act, as no notification as required under the aforesaid provision was issued by the Government and, accordingly, these letters were declared as without lawful authority and of no legal effect- The learned Deputy Attorney-General at the hearing of appeal contended before us that section 16 of the Customs Act was not applicable in the present case as the cases of goods in transit to Afghanistan were governed under section 129 of the Customs Act. Mr. Khalid Ishaque, the learned counsel of the private respondents conceded that section 16 of the Customs Act was not applicable in the instant case and as such the order of the High Court of Sindh declaring the 2 impugned letters as not valid and without lawful authority being violative of section 16 of the Customs Act, is not sustainable in law. Mr. Khalid Ishaque, the learned counsel for respondent however, contended that the learned Judges of the High Court neither examined the merit of case in the light of section 129 of the Customs Act nor they considered the effect of the Afghan Transit Trade Agreement, 1965 dated 2-3-1965 executed between the Government of Islamic Republic of Pakistan and Government of Kin dour of Afghanistan for regulation of traffic in transit. Mr. Ikram Ahmed Ansari, the learned Deputy Attorney-General conceded to the position that the learned Judges of the High Court neither considered the effect of section 129 of the Customs Act nor took into consideration the terms of the treaty agreement between the 3overnment of Islamic Republic of Pakistan and Government of Kingdom of Afghanistan. Both the learned counsel agree that the case may be remanded to the High Court to re-determine the validity of the 2 letters in the above petition in the light of the above submissions of the parties. , We, accordingly, by consent accept this appeal, set aside the order of High Court dated 24-3-1992 and remand the case with the direction that the petition may be re-heard and disposed of in terms of the above observations. There will be no order as to costs. AA./G-467/S Case remanded.