Import ownership under the Control Order requires property to remain with the licensee until customs clearance; prior change alone is not a breach.

Clause 5(2) of the Import Trade (Control) Order was merely enabling and applied only where a licence carried special conditions, none of which was shown to have been breached. Clause 5(3) required the imported goods to remain the property of the licensee at the time of import and until clearance through Customs, but a change in ownership before clearance did not by itself amount to contravention. On the facts, title was said to pass on retirement of shipping documents under the letter of credit, which had not occurred. The alleged contravention was therefore not established.

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Issues: Whether clauses 5(2) and 5(3) of the Import Trade (Control) Order were contravened by the alleged change in ownership of the imported goods before clearance through Customs.

Analysis: Clause 5(2) is only enabling in nature and applies where a licence contains special conditions beyond clause 5(1); no such condition was shown to have been breached. Clause 5(3) deems a condition that the goods shall remain the property of the licensee at the time of import and until clearance through Customs. On the facts, title ordinarily passes when the shipping documents are retired under the letter of credit, which had not occurred. In any event, a change in ownership between shipment and arrival does not amount to a breach of clause 5(3), which is concerned with ownership at the time of import and up to clearance.

Conclusion: The alleged contravention was not established, and the appeal succeeded.

Ratio Decidendi: A change in ownership of imported goods prior to importation does not by itself violate clause 5(3) of the Import Trade (Control) Order; the relevant requirement is ownership at the time of import and until clearance through Customs.

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