Court directs expeditious release of vehicles imported under Cross-Border LCs

By Lakmal Sooriyagoda  

Sri Lanka Customs and other relevant authorities have been directed to expedite the release of several vehicles imported under Cross-Border Letters of Credit (LCs), following undertakings and guarantees tendered before the Court of Appeal.  

When several writ petitions came up before the Court of Appeal, a two-judge bench comprising Court President Justice Rohantha Abeysuriya and Justice Priyantha Fernando, Additional Solicitor General (ASG) Sumathi Dharmawardena informed court that Customs and all other relevant authorities will be instructed to commence processing the CUSDECs and release the vehicles, subject to certain guarantees and undertakings to be furnished to Sri Lanka Customs.  

In the case bearing No. CA Writ 847/25, Counsel Nishan Sydney Premathiratne, appearing for a personal importer, informed court that his client was willing to provide a personal guarantee for the surcharge sum to be determined by Customs.

He highlighted that the imported vehicles have been exposed to the elements and are deteriorating, posing a serious concern regarding their security and condition.  

Counsel Premathiratne, in the presence of his client, recorded an undertaking that his client unequivocally and unconditionally agrees to furnish a personal guarantee for the amount stipulated by the Respondents, without prejudice to his client’s rights in the case. He further undertook that his client would not proceed to register the vehicle until an appropriate court order is made or the dues payable are settled as required.  

In view of the proceedings, the Court of Appeal also permitted petitioners in the other connected cases to tender similar undertakings and to have them duly recorded in the case records.  

ASG Dharmawardena further informed court that a Gazette notification concerning the matter, including provisions for the additional surcharge, was expected to be issued on or before Friday (October 24, 2025).  

The petitioners in the connected cases were represented by President’s Counsel Ikram Mohamed, Sanjeeva Jayawardene PC, and Faizer Mustapha PC.  

The petitioner in CA Writ 847/25 was represented by Counsel Nishan Sydney Premathiratne, who appeared with Shenali Dias and Vikum Jayasinghe on the instructions of Gamindu Karunasena.  

ASG Sumathi Dharmawardena, Deputy Solicitor General Chaya Sri Nammuni, and State Counsel Rajika Aluwihare appeared for the State.