PAK TERRY MILLS (PVT.) LTD. vs FEDERATION OF PAKISTAN through Secretary Finance Ss

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PAK TERRY MILLS (PVT.) LTD. VS FEDERATION OF PAKISTAN through Secretary Finance Ss. 12(1) & 23B (4)---Constitution of Pakistan, Art. 10-A---Appeal, filing of---Pre-requisite(s)---Condition to deposit security---Constitutionality---Fundamental right, violation of---Fair trial---Scope---Petitioner-company (Textile Manufacturing Unit) challenged the order passed by Foreign Exchange Regulation Appellate Board to deposit adjudged amount in cash in compliance of S. 23C(4) of Foreign Exchange Regulation Act, 1947 ('the Act, 1947')---Argument of the petitioner was that said requirement was violation of fundamental rights of petitioner especially fair trial---Validity---The petitioner exported goods and was under the obligation to repatriate the outstanding proceeds in foreign exchange, which it failed to do within the stipulated period from the date of shipments---Consequently, the four points as framed by the Adjudicating Officer were adjudged against the petitioner and its directors under the law---The repatriation of the export proceeds was the sole responsibility of accused as foreign exchange was involved---There was no evidence of genuine efforts for the repatriation of the amount, as adjudged by Adjudicating Officer, however, this was subject to outcome of appeal before the Board ; this was contravention of S. 12(1) of the Act, 1947, and was liable to be dealt within the frame work of the Act, 1947--- The failure to repatriate the amount had triggered subsection (4) of S. 23B of the Act, 1947 and the amount was adjudged payable---Article 10-A of the Constitution was in respect of trial and not appeal---Original proceedings were initiated by Adjudicating Officer and no such restrictions were imposed at that point in time; hence requirements of Art. 10-A of the Constitution were not violated---The appeal before the Board was filed under the relevant law which required the appellant to secure the amount by way of deposit of a cash---The law was clear and no interference was required---Appeal, for the purposes of re-appreciating the evidence and record, was considered as continuation of trial but financial restriction for the appellate stage was the lawful / statutory cap as legislated---Appeal was a creation of statute and although right of appeal was a fundamental right but conditions attached could not be deemed to be unconstitutional---If the restriction was considered a violation of fundamental rights then the litigation involving finances would never be secured---Summary chapter trial imposed condition even during trial but was not adjudged a violation of fundamental rights ; so were the cases covered under Financial Institutions (Recovery of Finances) Ordinance, 2001, where leave was inevitable to contest the case---Pre-requisites of appeals, requiring leave, security, or deposits, did not violate the right to fair trial and due process---When legislature could give right of appeal it could attach conditions with such appeal, provided they (conditions) were reasonable; were uniformly applied, and were not excessively onerous---These measures struck a balance between preventing frivolous litigation and ensuring access to justice, thereby upholding the principles of fairness and due process, especially in financial matters---Thus, the fair trial and due process was to be adopted as per the relevant statute/law and Constitution, and not otherwise---Constitutional petition was dismissed in limine.

PAK TERRY MILLS (PVT.) LTD. vs FEDERATION OF PAKISTAN through Secretary Finance Ss — 2025 PTD 871 KARACHI-HIGH-COURT-SINDH

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