| Citation(s) |
|---|
| 2012 SLG 1345 2012 SLD 1345 2012 CLD 50 |
Sindh High Court
C.P. No.D-1282 of 2011, decision dated: 18-10-2011, hearingDATE : 15-09-2011
MUSHIR ALAM, C.J. AND IMAM BUX BALOCH, J
C.P. No.D-1282 of 2011, decision dated: 18-10-2011, hearingDATE : 15-09-2011
MUSHIR ALAM, C.J. AND IMAM BUX BALOCH, J
ENGRO FERTILIZERS LIMITEDvsISLAMIC REPUBLIC OF PAKISTAN and FEDERATION OF PAKISTAN, ISLAMABAD and others
Law: Constitution of Pakistan, 1973
Section: 199,158,172,161
[Constitution of Pakistan.........Art 199--- Constitutional jurisdiction--- Scope--- Good governance--- Commitments of State--- Duty of courts---Scope---Petitioner established an industrial unit for production of fertilizer on the assurance and guarantee of Federal Government and natural gas transmission company that the plant would get uninterrupted and regular supply of a fixed quantity of natural gas---Grievance of petitioner company was that US$1.1 billion were spent on establishing of the plant but authorities had failed to provide the agreed amount of natural gas regularly---Validity---If State or Government failed to live up to its commitments, assurances and guarantees, court could enforce such incentive scheme and concessions, assurances and guarantee offered and acted upon at the motion of parties complaining of breach or violation thereof---Whenever State or Government, to lure or attract investment held out, gave assurance or represented to investors to provide certain incentives, tax holiday, concession in customs or excise duties, advantages, concession, licences and/or benefits etc. and acting on such sovereign incentive assurances, representations and guarantees any investor had made investments in any industrial undertaking it was obligatory on part of the State or the Government to ensure that it would live up to its sovereign representations, assurances, commitments, representation and guarantees, otherwise it would cause a serious dent in credibility of any State and or Government---No State or Government could afford to breach such sovereign commitment, assurances and guarantees---If these were not fulfilled, such State and/or Government would not only lose its face and credibility internationally and locally but also confidence and trust of investors would be shattered, which would not only be devastating for future of any State and or Government but had far reaching adverse impact and consequence immeasurable in terms of money---High Court directed the authorities to supply guaranteed quantity of natural gas to petitioner's plant strictly in accordance with contract---Petition was allowed in circumstances. Lucky Cement Ltd. v. Federation…
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