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The Supreme Court has rejected the Federal Board of Revenue’s (FBR) appeals and granted relief to citizens in vehicle smuggling seizure cases across Pakistan.
A three-member bench, led by Chief Justice Yahya Afridi, upheld a 2023 Peshawar High Court ruling that supported owners of seized vehicles.
The court stated that vehicles bought through auctions or with verified registration are presumed legal, even without original import documents after five years.
Under Section 211 of the Customs Act, the statutory record-keeping limit is five years, after which owners cannot be penalized for missing documents.
Justice Muhammad Shafi Siddiqui, who authored the verdict, clarified that the burden of proof rests with Customs officials, not with the vehicle owners.
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The court emphasized that unless the engine or chassis numbers are tampered with, vehicles should not be considered illegal by default.
This ruling protects genuine buyers, especially those who unknowingly purchase used or auctioned vehicles with outdated or missing paperwork.
In total, 23 appeals by the FBR were dismissed, with the court affirming that most vehicles had proper registration or were bought in good faith.
The judgment urged authorities to focus on stopping smuggling during import and registration, rather than targeting later, unsuspecting buyers.
The court also recommended showing respect during vehicle inspections, especially when families are present, including assigning female officers when needed.
