KARACHI: Justice Salahuddin Panhwar on Thursday allowed an application filed by Chief Collector Customs Hyderabad in a suit no 32/2002 filed by Allied Bank of Pakistan Limited against Fateh Textile Mills.

The applicant prayed to the court to order that Federation of Pakistan has the first right to charge  its recoverable amount from the sale proceeds of a plot owned by the Fateh Textile Mills.

The applicant maintained that the defendant Fateh Textile Mills  imported a number of consignment consisting of  finished goods which  were cleared  under manufacturing bond and in-bonded in the manufacturing bonded Warehouse subject to export.

It was further maintained that Fateh Textile Mills failed in producing proof of export after which contravention cases were framed and referred for adjudication by the Adjudicating Authorities. An amount of rupees 58,893,392  is recoverable as per final adjudication and instant application was filed for the recovery of the same, Masooda Siraj counsel for Customs Hyderabad told the SHC bench today.

She prayed that the Nazir of the court who is auctioning the suit property be ordered to first charge the custom duties tax amount from sale proceeds.

The bench after hearing the counsel allowed the application.