Hayleys Consumer Products Ltd. v. Director General of Customs, Sri Lanka Customs – CA WRIT/31/2019-2021

In the case between Hayleys Consumer Products Ltd. and Director General of Customs, Sri Lanka Customs, the issue concerned the correct Harmonized System (HS) Code applicable to imported ‘Pringles’ Potato Chips, and whether the customs process for reclassification was conducted lawfully and fairly. It was determined that the inquiry conducted by Customs lacked transparency and did not provide adequate reasoning or procedural fairness, failing to meet requirements of natural justice. The court quashed demands for recovery of short-paid levies and directed that the classification dispute be referred to the Sri Lanka Customs Nomenclature Committee for determination, and not to the World Customs Organization. The holding reaffirmed that administrative inquiries affecting rights must be procedur