Court directs Customs to expedite vehicle scanning process

• The Court fixed the matter for support on November 11, 2025

The Court of Appeal yesterday directed Sri Lanka Customs (SLC) to take immediate steps to have the detained vehicles scanned using the equipment imported by the petitioner company, John Keells CG Auto (Pvt) Ltd, in connection with a dispute over the motor capacity of BYD vehicles currently held by SLC.  

Court of Appeal President Justice Rohantha Abeysuriya and Justice K. Priyantha Fernando observed that the inspection should be carried out without undue delay.   

“This case has taken up a lot of judicial time. There should be some finality. The Court expects expeditious action regarding this matter.

The Court lacks the technical expertise to determine aspects such as motor capacity, and therefore, assistance from relevant experts is required,” Justice Abeysuriya said.   

President’s Counsel Farzana Jameel, appearing for the petitioner company, informed the Court that the scanners required by Customs for inspection are available. She stated that the petitioner company would make the scanners accessible and that the inspection could be carried out in the presence of engineers. The petitioner further stated that it was not agreeable to providing a corporate guarantee for the penalties imposed.   

Meanwhile, Deputy Solicitor General Chaya Sri Nammuni informed the Court that the Customs submitted a motion yesterday (28) evening regarding the Customs declaration on the scanners imported by the petitioner company.   

The petitioner requested that the testing of the vehicles be conducted as expeditiously as possible to facilitate their release. Counsel for the petitioner further informed Court that they would respond to the said motion after consulting the petitioner on or before November 7.   

On a previous occasion, Senior Additional Solicitor General Sumathi Dharmawardena, PC, appearing for the Director General of SLC, informed Court that SLC had agreed in principle to release the BYD Dolphin Standard 49 kW and BYD Sealion 7–100 kW vehicles upon the submission of a bank guarantee, subject to specified conditions.   

However, he informed the Court that SLC would retain one unit from each vehicle model for inspection purposes. He further stated that the petitioner company should furnish corporate guarantees covering other categories of imported vehicles.   

President’s Counsel Farzana Jameel, appearing for the petitioners, objected to the demand for corporate guarantees, arguing that such a requirement was unprecedented and that the alleged misclassification of vehicles did not amount to an offence under the Customs Ordinance. She maintained that the Court should facilitate the release of the vehicles solely on the basis of a bank guarantee.   

Mrs. Jameel further submitted that SLC had not yet finalized the classification of the vehicles, nor had it alleged any under-valuation. She emphasized that the issue pertained solely to HS classification, and that imposing an additional corporate guarantee to recover any potential penalty would be ultra vires (beyond legal authority).   

The Court fixed the matter for support on November 11, 2025.