The High Court (HC) on Tuesday issued a rule upon the authorities to explain in four weeks as to why the renewal or issuance of licences of fully-owned foreign freight forwarders should not be declared illegal.

For instance, foreign freight forwarders are not legally entitled to obtaining or renewing their licences.

In the rule, finance and law secretaries, NBR chairman, and chiefs of customs licencing board and customs authorities of Dhaka Chittagong, Mongla, Dhaka ICD and Pangaon have been made respondents.

The court also wanted to know as to why the inaction of the respondents to hold back 100 per cent foreign-owned entities from renewing their licences in accordance with Freight Forwarders (Licencing and Operation) Rules, 2008, which were amended in 2015, and ultra vires actions of the respondents by providing licences to such firms should not be declared illegal.

The court bench of Justice M Enayetur Rahim and Justice Md Mostafizur Rahman passed the order after hearing a writ petition filed in this connection.

Monoj Sen Gupta, chairman of Awesome Network Limited, filed the writ petition on November 07, 2019, challenging the legality of renewal of the old licences and issuing the new licences to the foreign entities.

Lawyer Aneek R Haque took part in the hearing on behalf of the writ petitioner while deputy attorney general Tushar Kanti Roy stood for the state.

In the light of the introduction of 2015 statuary regulatory order under the Freight Forwarders (Licencing and Operation) Rules, 2008, the foreign enterprises will not be allowed to obtain or renew their licences, according to the petition.

The petition, however, said since the 2015 regulatory order did not incorporate the provision of retrospective effect, the rights and obligations of foreign entities holding the existing licence should not be hampered.

After the expiry of the existing licence, which was obtained before the introduction of 2015 order, during the renewal, the relevant government agencies are obliged to follow the conditions laid down in the rule, it added.

Nevertheless, the petition said the head of customs licencing unit, either with ill-intention or without adhering to the rule or misunderstanding the concept of "renewal" continued issuing licence to such foreign entities who are not legally entitled to obtain licence under the amended rule in the name of retrospective effect.

Allowing foreign entities to obtain licences, the respondents have breached the rule, which is "ultra vires to the Constitution," according to the petition.