SHC asks Customs to return seized medical equipment to importer

ISLAMABAD: The Sindh High Court (SHC) has directed the customs department, Karachi, to return the seized medical equipment to a licensed importer, citing a lack of proof to support smuggling allegations against the importer. According to an order of the SHC in a Special Customs Reference No. 100 of 2025, the customs department has made a baseless case of smuggling against the importer of medical equipment. The subject matter pertains to the seizure of allegedly smuggled items relating to ophthalmology, including lenses, medicines, surgical items, machinery for invasive procedures such as Cataracts and Glaucoma (“Subject Goods”) from the premises of the appellant (importer). A critical scrutiny of the above-mentioned documents shows that the goods are covered by these documents provided by the importer. The appellant has also referred to each copy of GDs, invoices, and cash memos correlating the same with the respective Serial No. of the list of items seized as mentioned in the Show-Cause Notice, thereby verifying their lawful procurement by the appellant. By producing these documents, the appellant shifted the burden onto the Respondent department under Section 187 of the Act, ibid. It was then incumbent upon the Respondent department to have reconciled these documents with the seized goods to verify the same; however, no such exercise was conducted by the department. The customs department has merely termed these documents as irrelevant, without giving any plausible basis or without providing a reconciliation statement. The SHC order further said that, as regards the status of the appellant importer, it is observed that the Appellant is prima facie a licensed importer of Medical Devices. The Drug Regulatory Authority of Pakistan has issued them a license to import medical devices. The Respondent department has not objected/ as to its authenticity. Therefore, it is an admitted position that the appellant is a license holder and importer of these and similar items, and has in fact provided a substantial set of import documents that clearly show the appellant as the consignee/ importer of the said medical equipment/ goods. In light of the foregoing deliberations, the Respondent department’s claim to the extent that the Subject Goods were smuggled remains unsubstantiated, as no proof of smuggling has been placed on record by them. The goods were seized at the premises of the appellant in Karachi. The place of seizure is far removed from the border or any unauthorised route. It is very hard to connect the place to any act of storing smuggled items when viewed in light of a large number of import documents covering the bulk of seized items. The import documents authenticate lawful customs clearance of the subject seized goods, as the Appellant has successfully brought on record plenty of documentary evidence proving legal procurement of the goods through lawful imports by no one but himself. The goods have passed through the entire customs clearance process. Hence, in the presence of the above-mentioned documents, which the Respondent Department has not been able to prove false, the question of the Subject Goods being smuggled becomes baseless, SHC said. Accordingly, the instant appeal is allowed, and the Impugned Order is set aside. The seized goods are liable to be returned to the appellant forthwith, SHC order added. Copyright Business Recorder, 2026

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