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Court of Appeal Issues Interim Order Preventing Detention of Legally Imported Electric Vehicles

By Sahan Rathanasekara

November 02, 2023

The Court of Appeal has issued an interim order yesterday (01), preventing the implementation of the decision taken by the Director General of Customs to detain 7 electric vehicles in the customs custody imported in accordance with the circular issued giving permission to import electric vehicles to Sri Lankans who sent foreign exchange to increase the country’s foreign exchange reserves.

The Ministry of Labor and Foreign Employment had given this permission for Sri Lankans who send dollars to Sri Lanka legally.

The Appellate Court made this order after considering a petition filed by Overland Automobile Pvt Ltd against the detention of seven electric vehicles legally imported by its company.

The order was issued by the Court of Appeals Chairman Justice Nishanka Bandula Karunaratne and Mr. Chamath Morayas.

The bench has issued another interim order preventing the arrest of the petitioner company’s managing director Dham Perera or any representative of the company regarding the relevant incident.

Mr. Faizer Mustafa, the President’s Advocate who appeared for the petitioner company, stated before the court that his clients have dealt with the importation of vehicles in a reputable manner and have dealt with the customs in a very reliable manner.

According to the circular issued by the Ministry of Labor and Foreign Employment on August 31, 2022, the President’s Counsel pointed out that the Customs has refused to release the documents related to the seven electric vehicles imported by the petitioner company saying that they are illegal.

A petition was submitted requesting that this process be ruled against the law and an order be issued to prevent the activities.

Here, the petitioners stated before the court that their lives were threatened. Accordingly, he informed the court that threats were made demanding ransom around the month of June.

Threats have been received such that there will be phone calls to pay a ransom of one crore rupees, otherwise the life of the petitioner may be in danger. It was also mentioned by the petitioners before the court that if the petitioner does not pay the ransom, they have threatened to be raided by the Sri Lanka Customs.

Accordingly, the petitioners stated before the court that due to the nature of the threat and knowing well that many people, including other commercial establishments, would express displeasure about the success of the petitioner company in these difficult circumstances, they took steps to submit a complaint to the Criminal Investigation Department.

The petitioners said that they continued their business activities despite the threats against them and accordingly they imported 7 electric cars as per the circular issued by the Ministry of Labor and Foreign Employment.

Meanwhile the petitioners informed the court that on or about 9th October, officers acting under the authority of all or some of the first and second respondents namely Director General of Customs PBSC Nosin, Deputy Director of Customs S Luqman or Deputy Director of Customs APASP Perera, raided the showroom of the petitioner party and took the documents related to the importation of 7 vehicles to their possession.

The petitioners also stated before the court that at 11:00 PM on the same day of the relevant incident, one of the officers who had the documents related to the electric vehicle in his possession requested one of the petitioner, an employee of the petitioner company, to provide the letters stating that the 7 vehicles in question will not be transported out of the premises of the showroom.

The petitioners also said before the court that a petitioner has sent a letter to the first respondent, the Director General of Customs, PBSC Nosin, requesting to be informed about the current status of the inspection that was carried out by the Sri Lankan Customs on or around the 27th of October.

The petitioners informed the court that the first, second and third respondents or the parties acting according to their instructions have also provided information to the media regarding this raid.

The petitioners said that the documents related to the 7 vehicles taken into custody by the Sri Lanka Customs were publicized by the national newspapers.

After that, a headline in a national newspaper on October 23 specifically mentioned that the petitioner company had imported more than 70 electric vehicles as per the circular issued by the Ministry of Labor and Foreign Employment and that the petitioner company was involved in a large-scale license fraud.

The petitioners have further informed the Court of Appeal that there is a suspicion that the above information was given to the National Newspaper at the request of some officials of Sri Lanka Customs.