Enjoining order issued against Chinese Fertiliser Company Qingdao

The Commercial High Court has issued an enjoining order against Qingdao, a China-based company that imported unsuitable bacterial fertiliser, its local agent in Sri Lanka and the People’s Bank, based on a request made by the Ceylon Fertiliser Company Limited.

The enjoining order will be barring the People’s Bank from making any payments under a letter of credit (LC) opened on behalf of Qingdao Sewing Biotech Group.

The Court also issued an injunction restraining the China-based company and its local agent from receiving any payment under the LC.

The company has acknowledged during shipping advice that the consignment of fertiliser may contain microorganisms despite the requirement to ship sterilised organic fertiliser under the agreement.

The sample sent to them by the National Plant Quarantine Service confirmed the presence of certain harmful bacteria and other organisms.

The Attorney General’s Department appeared on behalf of the Ceylon Fertiliser Company Limited.


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