RAJA MOHAMMED AKRAM & CO.

ADVOCATES AND LEGAL CONSULTANTS

33-C, Main Gulberg, Lahore
Ph.# (042) 5750208 & 5750074 Fax # 5750175
E-mail: rma@nexlinx.net.pk

SALMAN AKRAM RAJA

NOMAAN AKRAM RAJA

M.A. (Cantab), LL.M (London)

LL.M (Harvard)
Advocate Supreme Court

LL.B (Hons) London, LL.M (New York)

Barrister-at-Law, Advocate

Ernst & Young etc.

Chartered Accountants
Progressive Plaza
Beaumont Road
P.O.Box 15541
Karachi-75530
July 23, 2010
Subject: CHERAT CEMENT COMPANY LIMITEDFOR THE YEAR ENDED
30-06-2010
Dear Sirs,
1. Please refer to your letter dated 13.07.10 on the subject noted above. Our
response follows as below.
2. We confirm that presently we are handling only one case in the Honorable
Supreme Court of Pakistan on behalf of the Company. The case is presently
pending adjudication. The next date of hearing is not fixed and shall be
notified by the office of the Honorable Supreme Court.
3. The case is titled as Cherat Cement Company Limited versus Federation of
Pakistan & Others and it is numbered as CPLA No. 55/2010. The case arises
out of writ petition no. 1643/1997 decided by the Peshawar High Court
through Judgment dated 24.12.2009. The writ petition calls in question the
legal vires of the Pakistan Standard and Quality Control Authority Act, 1996
on the ground of legislative competence and further seeks to set aside allied
legislation and notifications charging illegal fees for application, licensing,
marking and inspection functions performed by the Authority under the
impugned Act on the grounds of illegality, unconstitutionality and colorable
exercise of powers. The Peshawar High Court vide its Judgment dated
24.12.2009 refused to issue the writ. The decision of the Peshawar High Court
has been challenged on behalf of the Company in the Supreme Court which is
pending adjudication for grant of Leave to Appeal.

4. In our opinion chances of success in CPLA No. 55/2010 are strong, but in case
of failure, the Company will become liable to pay the fees as and when the
Authority is called upon to perform functions or services to the Company
under the impugned Act. However we believe that such fees have been and are
already being duly paid by the Company as there is no stay order against the
impugned Judgment of the Peshawar High Court.

We believe that the above addresses your requirements adequately. In case of further
assistance, please do not hesitate to contact us.

For and on behalf of

RAJA MOHAMMAD AKRAM & CO.

SHEHZAD HAIDER
Advocate High Court