PAKISTAN P.V.C. LTD. Versus GOVERNMENT OF SINDH

1. SAIDUZZAMAN SUDDIQUI, J.‑‑The petitioner has challenged in the above petition the; imposition of Octroi on the import of caustic soda within the limits of Karachi Metropolitan Corporation at the rate of Rs.90 per ton by respondent No. 3. It is contended by the learned counsel for the petitioner that Caustic Soda is listed in Class III under the heading "WASHING" as Item No.3 (c) of the Octroi Schedule "B" on which Octroi is payable y Rs30 per ton, whereas respondent No.3 who is the Octroi Contractor of respondent No.2 is illegally demanding octroi thereon at the rate of Rs.90 per ton. Learned Counsel for respondent Nos.l and 2 have supported the petition to the extent that the Octroi on Caustic Soda is payable CW Rs.30 per ton. In fact learned counsel for respondent No.2 pointed out that on the dispute brought before respondent No. 2, in this regard, it was decided on 21‑11‑1988 that Octroi is payable on Caustic Soda at Rs.30 per ton. Mr. Zaki Mohammad the learned Counsel for respondent No.3, however, contended before us that as the Caustic Soda imported by the petitioner within the limits of K.M.C. was not in the solid form but in the liquid form, and as such it will fall in the category of "Chemicals of all kinds" specified as Item No. 6 (b) Class V of Octroi Schedule on which Octroi is payable at the rate of Rs.90 per ton. We are unable to accept the contention of the learned counsel. There is a chemical report of the product on record as Annexure "E" filed with the petition which is not disputed. According to this report the sample upon A analysis was found to contain caustic soda 4(1.31, water content 58.10 and other impurities 1.59. In the counter‑affidavit filed on behalf of respondent No.3, in para. 5 it is stated as follows:‑‑

2. "5. That even otherwise the Liquid Caustic Soda is a Chemical duly processed, and as such is to be charged at Clause 6 (b), Class V of Schedule "B", and is being charged at the same ,pecified rate."

3. In view of the above‑admitted position we arc in no doubt that the article imported by the petitioner is caustic soda on which Octroi is payable 41 Rs30 per ton according to Octroi Schedule "B". We accordingly accept tile petition and declare the demand by the respondent No3 of the Octroi on caustic soda at the ate of Rs.90 per ton as wholly without lawful authority. There will be no order as to costs.

4. In view of the decision of the main petition the miscellaneous application filed by the petitioner has become infructuous which is accordingly dismissed.

5. M.Y.H./P‑119/K Petition allowed.