KARACHI: The Custom Appellate Tribunal, Bench–I Karachi allowing an appeal vacated a show cause notice issued to appellant Ghazi Steel Mills.
The tribunal headed by Muhammad Nadeem Qureshi, Member Judicial I and Muhammad Yahya, Member (Technical-I) in its order passed on Nov 18 held that order passed by Additional Collector, Customs, MCC Quetta suffered from legal infirmities. The adjudicating officer has not applied his mind, decided the case in extreme haste and in a very unprofessional manner.
The tribunal also dismissed the stance by the custom officials that driver of the truck escaped and that consignment seized differed from consignment showed in goods declaration.
According to details on 02-09-2010 Customs Officers at Baleli Check post (on the outskirt of Quetta) intercepted a truck carrying foreign origin waste and scrap of auto parts. The custom maintained that driver of the truck fled away while cleaner produced copy of the GD Bill of Entry according to which iron and steel waste, re-melt-able scrap weighing 18500 kilograms falling under PCT heading 7204-4990 chargeable 1 per cent income tax was being carried. The Custom Official maintained that during search, auto parts of foreign origin falling under PCT heading 7204-4920 attracting Customs Duty at a rate of 35 per cent, Sales Tax 15 per cent, FED 1 per cent and With Holding tax 5 per cent.
The customs then issued a show cause notice against Ghazi Steel Mills against which they filed an appeal.
The appellate authority, Additional Collector of Customs, MCC Quetta dismissed their plea on ground that no one appeared to produce the proof of legal import and therefore confiscation of entire goods was justified.
The Custom Appellate tribunal however rejected the grounds for seizure of the entire good and also their auction without notice to the appellant and allowed the appeal.