KARACHI, Jan 9: The Sindh High Court asked the provincial government on Friday to release the 69,000 tons of wheat it had agreed to sell to the highest bidder.

Allowing a plea by the bidder, M. Anwar Traders, Justice Amir Hani Muslim ordered that the auction purchaser shall continue to deposit the price in instalments as agreed and the provincial food department shall deliver wheat-stocks till the release of the entire quantity of 69,000 tons was completed.

The whole transaction shall be concluded within 35 working days from the date of the first deposit by the bidder.

The SHC official assignee was appointed commissioner to ensure that the entire exercise was carried out smoothly. The food department was directed to accept payments made by the bidder promptly and deliver wheat stocks of equivalent value within two days of the acceptance.

The proceedings threw up the question whether a letter of acceptance of a bid constituted a concluded and executable contract or there was a law empowering the government to rescind its acceptance after going through all the formalities.

The advocate-general argued that a final contract had to be signed after acceptance of a bid. He agreed that the stipulations made in the government's letter of acceptance amounted to a commitment and also that the bidder had made certain initial payments in accordance with the stipulations. However, execution required a formal contract duly signed by the two parties.

The court upheld the argument that a contract entered into in pursuance of Article 173 of the Constitution created mutual obligations and could not unilaterally be cancelled. An agreement approved by the chief executive of a province could not be altered or varied, least of all dishonoured, by any other cabinet member or official.

The court also pointed out that wheat was a perishable commodity and an irreversible loss might have to be suffered by the consumers and the bidder if deliveries were not made in time.

BAIL GRANTED: The Sindh High Court admitted businessman Sadruddin Gangji to bail in the sum of Rs3 million. Mr Gangji is being prosecuted by the FIA in a special court in six cases arising out of the same first information report. He, his son, two clearing agents and five customs officers, including collectors Hassan Imam and Afzal Amir Shah, are accused of importing huge quantities of palm oil without paying import duty and other dues. They are alleged to have caused a loss of Rs 613.5 million to the public exchequer during the period between 1993 and 1996.

The businessman reached an agreement with former senator Saifur Rehman Khan, the then chairman of the accountability bureau, who paid an amount greater than the alleged loss for amnesty. He returned to Pakistan under the deal, but was not discharged from the case.

Justice M. Sadiq Leghari noted in his bail order that the accused had admittedly made good the pecuniary loss allegedly caused to the public exchequer. The co-accused had also been granted bail and the rule of consistency demanded that he should also be freed on bail.

He had gone abroad and returned home 12 times after his first arrival in Pakistan in 1997 under a deal. He was not a fugitive from law.

Accordingly, the court ordered that the businessman be admitted to bail in all six cases against a security of Rs500,000 each. Advocate M. Ilyas Khan appeared for the petitioner and federal government standing counsel Mahmood A. Rizvi for the FIA.

DETENTION CASE: Justice Musheer Alam of High Court of Sindh on Friday issued notices to DIG, Investigation, Operation, CCPO and other police officials of CID in two identical petition challenging alleged illegal detention of two residents of Kausar Niazi Colony Karachi, adds APP.

Ms Nageena Aslam, wife of Muhammed Aslam, a chemical engineer and Ms Jameela Hassan wife of Hassan Ahmed moved the court alleging that their head of families were picked up in wee hours on Dec 30 by heavy police contingent in civvies.

The petitioner maintained that their husbands have no connection with any terrorist out-fit or religious group and are innocent. The petitioners prayed to the court to order respondents, including the home secretary to produce the alleged detenues before the court and to order their release. The bench after hearing initial arguments by their counsel Maqbool-ur-Rahman issued notice to the respondents for Jan 14.

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