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Petitioner: Hajj Organizers Association of Pakistan (Sindh Zone) & others VS Respondent: Federation of Pakistan & others
Court Name: Sindh High Court Judge(s): Muhammad Ali Mazhar, Agha Faisal Title:Hajj Organizers Association of Pakistan (Sindh Zone) & others vs Federation
of Pakistan & others Case No.: (1) C.P. No.D-2477 of 2019 (2) C.P. No.D-2936 of 2019 Date of Judgment:2019-06-26 Reported As: PLD 2020 Sindh 42, 2019 SHC 200 Result: accordingly disposed of Judgment Muhammad Ali Mazhar , J: The aforementioned petitions have been brought to challenge a letter dated 09.04.2019, issued by respondent No.1, whereby a precondition for allocation of quota to private sector for Hajj 2019, has been imposed that each private Hajj Group Organizer (`HGO') in its allocated quota shall accommodate 5% of pilgrims at Government Rate Package. 2. The transitory facts of the case are that the petitioner No. 1 is a representative body of private Hajj Group Organizers (`HGOs') (Sindh Zone) while other petitioners are its members and also reregistered quota holders recognized by the Government of Pakistan. The respondent No.1 is relevant ministry of the Government of Pakistan that receives a quota from Kingdom of Saudi Arabia (`KSA') and required to facilitate the implementation of Hajj Policy formulated each year by the Hajj Formulation Committee constituted in terms of directions contained in the judgment of Supreme Court. (Ref: PLD 2014 SC 1) In January , 2019, Hajj Formulation Committee formulated the Hajj Policy , 2019. According to the said policy , 60% quota retained for Government Hajj Scheme and for the rest, it was decided that 40% quota shall be allocated to the private sector/HGOs in a transparent manner and considering the HGOs good performance and satisfactory arrangements during Hajj, 2018. The Hajj Policy , 2019 formulated by the Hajj Formulation Committee was subsequently approved by the Federal Cabinet. Afterwards, 12 hajj packages for private sector were approved by the Hajj Formulation Committee for Hajj, 2019. A meeting was convened on 11.02.2019 in absence of representatives of HOAP , the respondent No 3 misinformed the committee that HOAP has agreed to provide 5% of quota at government hajj package and said offer was also appreciated by the committee. According to the petitioners no such offer was ever made by HOAP hence the communication of alleged offer by the respondent No.3 to the committee was based on misrepresentation and has no legal effect. The respondent No.1 issued a letter on 21.03.2019 with the directions that all quota holder HGOs should submit documents for issuance of Recognition Letters. However , the respondent No.1 vide its letter dated 09.04.2019,
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sought input from Chairman, HOAP on the said condition of 5% and has furthe r directed that each HGO must submit an affidavit that each petitioner (HGO) will accept booking of 5% Hujjaj at Government Hajj Package as approved by the Hajj Formulation Committee for Hajj 2019 and subsequently the terms & conditions of Service Provider Agreement (SPA) issued by the Ministry of Hajj 2019 failing which no Recognition Letter for Hajj 2019 will be issued. The Association of HGO raised objections to the impugned letter vide its reply dated 10.04.2019. 3. The respondents in their reply averred that to implement the judgment of Supreme Court in Dossani Travels case, the Hajj Organizers Association of Pakistan, a representative body of private sector agreed to book 5% pilgrims at Government Hajj Package. The tacit consent of HOAP , representative of all zones of Pakistan was put up to Hajj Policy Formulation Committee in its meeting on 11.02.2019. The Hajj Policy Formulation Committee appreciated the offer of HOAP . The mechanism of booking 5% hujjaj by private sector at Government Hajj Package was under discussion with HOAP . Accor ding to clause 18 (vii) of the Hajj Policy , 2019 each HGO is required to abide by the instructions/guidelines/SOPs /SPA issued by the Ministry of Religious Affairs and Interfaith Harmony , Government of Pakistan. The petitioners have no vested right for allocation of hajj quota. The Hajj quota of private sector as per hajj policy 2019 is intact. It was further contended that the petitioner s case is not based on merit as majority of members of HOAP have already agreed and submitted affidavit for booking of 5% of their hujjaj at the rate of Government Hajj Package. 4. The learned counsel for the petitioners argued that the impugned condition of booking is illegal and without jurisdiction. No such provision is embodied in the Hajj Policy , 2019. Moreover , no such condition was imposed by the Hajj Formulation Committee hence such condition is without jurisdiction and in violation of the Judgment of the Apex Court reported as PLD 2014 SC 1. The private sector and petitioners (HGOs) have been granted 40% of quota after detailed deliberations. The imposition of impugned condition tantamount an indirect reduction in the private sector quota. The packages to be offered by the HGOs for Hajj 2019 have been prepared with the consensus and have been approved by the Hajj Formulation Committee which do not contain any mandatory package at Government package rate. The approved packages of HGOs are more expensive than the government package as the HGOs are providing better facilities and do not benefit from economies of government rates of airline fares and all staff despite that the HGOs are being forced to pay the difference in respect of these 5% Hujjaj. The impugned condition is unreasonable and most HGOs will be unable to comply with the same as they will be unable to bear the difference. This unreasonable restriction is violation of Article 18 of the Constitution, 1973. The low-cost private sector package approved by the Hajj Formulation Committee is Rs.500,000/- which is higher than the Government package rate of Rs.427,975/-. This necessarily involves payment of a subsidy to be paid by the respective HGO itself. 5. The learned DAG argued that the Hajj Policy has been framed in view of the directions contained in the judgment of apex court in Dossani case reported in PLD 2014 SC 1. The Hajj Formulation Committee convened various meetings and it was jointly agreed with HOAP that the private sector will accommodate 5% hujjaj at Government Hajj Package to ensure compliance of recommendations of Competition Commission of Pakistan. This agreement with HOAP was in tacit form and not in writing. To devise a mechanism, the feedback of HOAP was requested vide letters dated 29.3.2019 and 5.4.2019 but meanwhile, HOAP was advised to instruct its members to provide affidavit to accommodate 5% Hujjaj at Government rate. The HOAP refused to submit the method for selection of 5% Hujjaj at the rate of Government Hajj Scheme. Since no input was received from HOAP, that's why the ministry finalized the service provider agreement with 5% booking condition of Hujjaj by private sector at Government Hajj Package. The learned DAG further argued that no such condition was imposed on HOAP in Hajj Policy but it was agreed and approved by Hajj policy formulation committee. 6. Mr. Amjad Ahmed, Joint Secretary (Litigat ion), Ministry of Religious Affairs & Interfaith Harmony , Islamabad was also allowed to address on special permission. He argued that the petitioners have no vested rights to invoke the jurisdiction of this court under Article 199 of the Constitution. Only HGOs of Sindh Zone are opposing this condition. The stipulation for 5% Hujjaj on Government rates was made on the request of Hajj Organizers Association of Pakistan (HOAP) but subsequently they back out from this promise. He further stated that no change has been
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made in the Hajj Policy which was only prerogative of Federal Cabinet. He reiterated that the impugned benchmark of 5% Hujjaj on Government rates was worked out on tacit approval of HOAP in the public interest. 7. Heard the arguments. In terms of the judgment rendered by the honble Supreme Court in the case of Dossani Travels Pvt. Ltd and others vs. Messrs. Travels Shop (Pvt) Ltd. and others (PLD 2014 Supreme Court 1), Hajj Policy Formulation Committee was constituted to frame Hajj Policy-2019 headed by its Chairman i.e. Secretary, Ministry of Religious Affairs & Interfaith Harmony and the Members comprising representative of Attorney General of Pakistan, representative of Ministry of Foreign Affairs, representative of Ministry of Law & Justice and representative of Competition Commission of Pakistan. The manuscript of Hajj Policy-2019 delineated and jot down by the said Committee was also approved by Federal Cabinet. According to paragraph No.07, nomenclature, "Hajj Scheme 2019", it is self-confessed that for Hajj 2019, there shall be two schemes i.e. "Government Hajj Scheme" for those applicants who intend to perform Hajj under Government arrangements and "Private Hajj Scheme" for those who want to make their Hajj arrangements through Hajj Group Organizers (HGOs), in accordance with Service Provider Agreement between Ministry and HGOs and individual agreement of the intending Haji with the HGO. It is further enumerated in the same paragraph that Hajj quota of 179,210, 60% (107,526) would be allocated to Government Hajj Scheme while 40% (71,684) would be allocated to Private Hajj Scheme i.e. Hajj Group Organizers (HGOs). It is also reckoned auxiliary that the additional quota of 5000 pilgrims will be allocated to private sector i.e. enrolled non-quota holder companies with the undertaking that in case the same is withdrawn by the Saudi Government at any stage they will not claim it as their right at any legal or other forums. In the congruent semblance, Part-III of the Hajj Policy-2019, paragraph 16 is germane to Private Hajj Scheme which expounds that the Government of Pakistan's policy of engaging private sector covers various areas including management, logistics and welfare services of Hujjaj. The policy aims to supplement the efforts of the Government by involving private sector. As a matter of policy, Ministry of Religious Affairs & Interfaith Harmony has proactively encouraged the private sector for Hajj Management since 2005. Whereas Paragraph No.17 of Part-III, tackles and embarks upon the allocation of quota in which the analogous proportion and fraction of 60% quota for Government Hajj Scheme and 40% quota to the private sector is recapitulated with the qualification that allocation of Hajj quota to the private sector shall be made in a transparent manner in accordance with Supreme Court's judgment in Dossani case, whereas Paragraph No.18 is relatable to general conditions for HGOs such as compulsory Hajj dues including transportation charges, Maktab fee, Mina charges etc. and performance guarantee for new HGOs of the packages including a provision of Service Provider Agreement with HGOs and separate agreement with individual Haji as per previous practice. According to Paragraph No.13 (Hajj Dues), the Hajj package of Government Hajj Scheme for Hajj 2019 is Rs.436,975/- without Qurbani for North Region and Rs.426,975/- for South Region, whereas Hajj Package including Qurbani for North Region is Rs.456,426/- and for South Region Rs.446,426/-. After formulation of Hajj Policy and its approval by the Cabinet, the Hajj Organizers Association of Pakistan (petitioner No.1 in C.P. No.D-2477/2019) submitted different categories of packages for Private Hajj Scheme for the approval of Ministry of Religious Affairs & Interfaith Harmony, Government of Pakistan, Islamabad and at present, the minimum Haj package in the private sector in Maktab D' Category starts from Rs.500,000/- per pilgrim. 8. It is an admitted position by both the parties that after the Judgment in Dossani Travels Pvt. Ltd and others versus M/s Travels Shop (Pvt.) Ltd. & others. [PLD 2014 Supreme Court 1], the Haj Policy is framed in view of the directions contained in the aforementioned judgment of apex court. For the ease of reference, the directions encompasses in paragraph 51 of the judgment are reproduced as under: 51. Before we part with the judgment, we may add that the performance of Hajj is a sacred duty for Muslims. But the quota allocated to Government of Pakistan by the Saudi Government is limited and within that limited quota, it allocates a certain portion to private HGOs. Since several hundred HGOs apply for allocation of quota from the Private Hajj Scheme share as worked out by the MORA, all applicants HGOs cannot be accommodated and the dismay of those who are left out is understandable. We are conscious that the MORA has to take several steps to ensure that travel, accommodation and other arrangements are made to the satisfaction of Hujjaj. It requires a couple, of weeks to complete the exercise. However since? ?
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Hajj operation is a time bound exercise, arrangements have to be made within that limited time. It is therefore, imperative that the Hajj Policy be framed well in time in such a manner which is fair, just, inspires confidence and evokes minimum criticism. It is also imperative that the Hajj Policy for the next year should be announced at the earliest after the conclusion of Hajj. In these circumstances, we are persuaded to direct as under: (i) The Hajj Policy should be framed, announced and placed on the website of MORA preferably within six weeks of the arrival of last flight of Hajis from KSA under intimation to the Registrar of this Court. This of course would be subject to any policy decision of the Saudi Government regarding allocation of Hajj quota for Pakistan; (ii) The Hajj Policy should be framed by a Committee headed by the Secretar y, Ministry of Religious Affairs (MORA); a nominee of the Competitio n Commission of Pakistan; a nominee of the Secretary , Ministry of Foreign Affairs, Government of Pakistan; a nominee of the Secretary Ministr y of Law and Justice Division and Parliamentary Affairs; and a nominee of the Attorney General for Pakistan; (iii) The credentials of each applicant/HGO should be examined and decision taken on merit; (iv) While framing the Hajj Policy , the MORA should be guided, inter alia, by the recommendations made by the Competition Commission of Pakistan to which reference has been made in Para 8 above; and (v) The MORA should constantly monitor the working and performance of each HGO during Hajj and this assessment should form basis for further improvements in Hajj Policy for next year's Hajj. 9. The record reflects that a notice was issued on 07.02.2019 to convene seventh meeting of Hajj Policy Formulation Committee on 11.02.2019. The agenda was circulated for discussi on i.e. compliance of decisions made in the previous meeting held on 29.01.2019; fixation of percentage of private Hujjaj on the rates equivalent to public sector rates; publishing advertisement for calling applications for new enrollment in compliance of decision of Islamabad High Court and any other item with the permission of the Chair . According to the minutes of seventh meeting of the Hajj Policy Formulation Committee dated 11.02.2019, the meeting was attended by Deputy Attorney General, Islamabad, Director General (Cartel and Trade Abuses). Competition Commission of Pakistan, Islamabad, Deputy Legislative Advisor , Ministry of Law and Justice, Islamabad, Director (GR), Ministry of Foreign Affairs, Islamabad and Secretary , Ministry of Foreign Affairs & Interfaith Harmony (Chai rman). The alleged decision on Agenda 1, Clause (iii) is reproduced as under: "The Ministry may finalize Hajj Packages of private sector in consultation with HOAP for Hajj 2019 for consideration of the committee. The CCP recommendations inter alia includ e connotation of economy of financial package offered for consideration at the time of allocation of Hajj quota was discussed by the committee. The representative of CCP was of the view that it stands for ensuring value for money which is not possible to determine at the time of allocation of Hajj quota. However , the committee was informed that as a result of series of meetings with HOAP , finally they agreed to provide hajj package @ Government Hajj package to 5% of their Hujjaj which is equivalent to 3584 hujjaj. The committee appreciated it. However , the DAG emphasized that the HGOs may further be persuaded to increase it to at least 10%." . [emphasis applied] 10. The above minutes unambiguously put on view that in the meeting no representative of the Private Hajj Sector or their association was present but one-sidedly it was declared that as a result of series of meetings with HOAP , finally they agreed to provide hajj package @ Government Hajj package to 5% of their Hujjaj from their quota and keeping in mind the alleged agreement a letter was also sent to the Chairman of the petitioner No.1 (C.P. No.D- 2477/2019) on 09.04.2019 to submit affidavit by each member of HOAP that each HGO accepts booking of 5% Hujjaj at Government Hajj Package as approved by the Hajj Formulation Committee failing which no recognition for Hajj 2019 letter will be issued to the company concerned. Moreover , on 29.04.2019, another letter was issued to all Chief Executives of Hajj Group Organizers (HGOs) by Section Officer (HGO), Ministry of Religious Affairs & Interfaith Harmony , Government of Pakistan with reference to the earlier letter dated 09.04.2019 for making a provision for 5% Hujjaj at Government Hajj Package by the Private Hajj Organizers for the Hajj-2019. A draft of
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agreement was also attached with the letter that was to be signed by each HGO as service provider for Hajj-2019. In Clause C (I), a precondition was set down which reads as under: "The Service Provider shall book Pakistani citizens only having valid machine readable Pakistani passport. Further to ensure economy of financia l package as per recommendations of competition commission of Pakistan in Dossani case, each service provider shall book 5% of Hujjaj @ Government Hajj package excluding the ten (10) approved packages failing which hajj quota of the service provider shall be cancelled." [Emphasis applied] 11. On 02.05.2019, the Hajj Organizers Association of Pakistan (HOAP) commun icated their objections, distress and discontentment to the Chairman, Competition Commission of Pakistan, Islamabad. On 13.05.2019, the Competition Commission of Pakistan, responded to the Coordinator HOAP . For the ease of reference, the CCP response is reproduced as under: "Most immediate 13 May, 2019 Coordinator HOAP, Hajj Organizers Association of Pakistan Office A2, Block-21, Near Railway Reservation Office G-6, Islamabad. SUBJECT: Seeking Opinion/Point of view of CCP in light of Certain clauses of SPA. Dear Sir, 1. I am directed to refer to your letter dated 10 May 2019 on the above mentioned subject wherein comments have been sought from the Competition Commission of Pakistan (CCP ) on Clause C(I) of the Service Provider Agreement (SP A) which is reproduced hereunder: 'Clause C(I) The Service Provider shall book Pakistani citizens only having valid machine readable Pakistani passport. Further to ensure economy of Financial Package as per recommendations of Competition Commission of Pakistan in Dossani Case, each Service Provider shall book 5% Hujjaj @ Government Hajj Package excluding the 10 approved packages failing which Hajj Quota of the Service Provider shall be cancelled'. 2. CCP in its report referred in the Dossani Case had noted economy of financial packages as one of the criteria for allocation of Hajj Quota among Hajj Group Organizers (HGO s). However , as regards the condition for booking 5% Hujjaj at Government Hajj Package, CCP has not expressed any opinion in its abovementioned report or otherwise that this would ensure economy of financial packages. 3. It is pertinent to mention that under the spirit of competition law the condit ion of booking 5% Hujjaj at Government Hajj Package by HGOs may lead to price discrimination by charging different prices for the same goods or services from different customers in the absence of objective justifications that may justify different prices. [emphasis applied] Sincerely, Sd/- Muhammad Qasim Khan Joint Director (Cartels & T rade Abuse)" 12. The Joint Secretary (Litigation) Ministry of Religious Affairs & Interfaith Harmony, Islamabad addressed us that except Hajj Organizers Association of Pakistan (Sindh Zone), no other Hajj Organizers Association of Pakistan for other provinces raised any issue. Quite the opposite, the learned counsel for the petitioners pointed out us a letter of Hajj Organizers Association of Pakistan (HOAP), Punjab dated 03.05.2019 penned down to the Vice Chairman, HOAP Sindh Zone in which HOAP Punjab Zone shown serious reservation to the condition in issue and fully supported these petitions being stakeholder and waiting for the decision of the aforesaid petitions. Similarly Hajj Organizers Association of Pakistan (HOAP) Khyber Pakhtunkhwa (KPK) vide letter dated 03.05.2019 to the Vice Chairman, HOAP, Sindh Zone also communicated their reservation on the condition of 5% booking of Hujjaj atth th ?
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Government package by the private sector and they also communicated their disagreement to the above condition and also supported the case of the present petitioners. So in our considerate view the position taken by the respondents that except HOAP Sindh Zone, other HOAP Zones are comfortable and agreeable to the impugned condition is misconceived and misguided on the contrary, they have vigorously and robustly opposed the impugned condition like HOAP Sindh Zone. 13. It is also inexplicable to note that two minutes of tenth meeting of Hajj Policy Formulation Committee convened on 26.04.2019 are accessible on record. In one minutes signed by Masood Gul, Director (GR), Ministry of Foreign Affairs, Islamabad in paragraph (5) only three Clauses (i), (ii) and (iii) are available without any condition of reserving 5% quota in the private Hajj sector quota equivalent to Government Hajj Package, whereas in another minutes of meeting signed by some members in the same paragraph (5) the condition (iv) was added that 5% Hujjaj to be accompanied against the Government rate with the same facility should be applied on all the private companies including whom additional quota would be allotted. 14. In the Dossani case judgment, the apex court in paragraph No.52, held that it is not the function of High Court exercising jurisdiction under Article 199 of the Constitution to interfere in the policy making domain of the executive but in the same paragraph it was further held that the High Court can under Article 199 of the Constitution annul an order or a Policy framed by the Executive, if it is violative of the Constitution, law or is product of mala fides. In both the petitions it is translucent that the petitioners have not invoked and entreated the jurisdiction of this court to challenge the Hajj Policy-2019 rather they profusely accepted it in latter and spirit and also assented to the allocation of quota granted to Private Hajj Sector according to Hajj Policy with 60:40 ratio. The bone of contention is an impugned condition imposed by the Hajj Formulation Committee on the alleged tacit approval/acceptance of Hajj Organizers Association of Pakistan (HOAP) whereby the Hajj Formulation Com mittee is compelling and forcing all Private Hajj Operators to accept the impugned condition which is absolutely foreign and distant to the Hajj Policy-2019. In reality or as a matter of fact the impugned condition tantamount to an indirect curtailment and reduction in Private Hajj Operators quota from 40% to 35% which the Hajj Formulation Committee has no jurisdiction after approval of Federal Cabinet. Had the Hajj Formulation Committee any intention to curtail the quota, they could have reviewed at the time of formulation of Hajj Policy-2019 subject to the approval of Federal Cabinet. Nothing has been placed on record to decipher that anything was submitted by the Hajj Organizers Association of Pakistan (HOAP) in writing showing their agreement with the impugned provision. Despite providing ample opportunity on the request of learned D.A.G., nothing was produced to show any agreement of HOAP in writing, however, in the counter affidavit it is stated by the respondents that agreement of Hajj Organizers Association of Pakistan (HOAP) in this regard in the meeting held on 02.02.2019 was in tacit form and not in writing which is self-explanatory that nothing was documented to show the consensus of Hajj Organizers Association of Pakistan (HOAP). Rather the minutes of meetings dated 15.04.2019 and 19.04.2019 signed by Section Officer (HGO), Ministry of Religious Affairs & Interfaith Harmony, Government of Pakistan demonstrate that the representative of HOAP expressed reservations regarding the booking of 5% Hujjaj by private sector at Government Hajj packages. At this juncture, we would like to survey the word "tacit" actually meant for: Tacit. Understood or implied…
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