KARACHI: The Custom Appellate Bench of High Court of Sindh sets aside an order passed by Custom Appellate Tribunal in Custom Appeal No K-2482 of 2024 pertaining to import of scrap batteries of Indian Origin and has introduced a significant new principle concerning the matter of frustrated cargo and re-exportation under Section 138 of the Customs Act, 1969. The decision ((click here for decision) has been approved for reporting and is now published on the official website of the Sindh High Court.
The bench was hearing a Special Custom Reference Application filed by Model Custom Collectorate (Appraisement) East, Karachi through Mr. Khalil Ullah Jakhro Advocate against respondent M/s Bilal Metal Private Ltd represented by M/s Ahmed Masood Advocates.
As per details, the respondents imported four containers of Battery Scrap showing their origin to be of “Bahrain” but it was found that one container was of Indian Origin Batteries scrap and therefore the importer was charged with “mis-declaration”.
The Custom Appellate Tribunal while hearing appeal of the Bilal Metals allowed re-export of the Indian goods as Frustrated Cargo in terms of Section 138 of the Customs Act 1969 which was challenged in the SCRA by the department.
