Is there any redress for airport fire victims?

The massive fire that engulfed the cargo complex at Hazrat Shahjalal International Airport on Saturday has left importers grappling with the loss of consignments worth crores of taka. They now face a painful question: is there any legal or financial redress for their losses?

There are two issues to consider — the refund of duties already paid and compensation through insurance coverage.

Take the case of Pacific International Trade Point Limited, a clearing and forwarding agent, which lost around $233,500 worth of imported medical equipment. It had already paid Tk 19 lakh in customs duties for a $67,000 shipment. The goods were scheduled for release on Sunday. Three other shipments, valued at $95,000, $68,000, and $3,500, were still under customs processing when the fire struck.

"The entire consignment was destroyed, leaving no opportunity for retrieval," said Zakir Hossain, managing director of Pacific International Trade Point Limited. "There has been no decision on refunds or compensation yet. We are still waiting."

As of now, neither the government nor Biman Bangladesh Airlines nor the Civil Aviation Authority has made any statement on compensation or refunds. "Only representatives of the Bangladesh Garment Manufacturers and Exporters Association provided a partial list of goods that survived the fire," Hossain said.

He added, "I have all the evidence — three to four key documents. Everything is strong and properly recorded. Once the government gives the directive, we'll file our refund claims with all necessary documents."

He said that the Dhaka Customs Agents Association is collecting details of pending bills of entry, ownership, and types of goods lost in the fire. "They asked for all those details, and I'll submit them tomorrow [Wednesday] morning."

WHAT THE LAW SAYS

The Customs Act 2023 provides a clear legal pathway for refunding duties or taxes on goods destroyed before being released for domestic use.

Under Section 28 of the law, if imported goods are damaged, lost, or destroyed in an accident or natural disaster after importation but before release, importers may apply to the customs commissioner for reassessment and refund.

Several officials of the National Board of Revenue (NBR) told The Daily Star that legal provisions will be thoroughly reviewed in this regard, with necessary measures taken in accordance with the law.

"They [companies that lost goods in the fire] must follow existing laws. NBR Chairman Md Abdur Rahman Khan is currently abroad; a decision may be taken after his return," said a top official, speaking anonymously.

NBR Chairman Md Abdur Rahman Khan could not be reached over the phone for a comment on the matter.

To assess the extent of damage caused by the fire, the Internal Resources Division has already formed a five-member inquiry committee, led by Joint Secretary Mohammad Mahbubur Rahman Patwary, and instructed it to submit a report promptly.

WHAT ABOUT INSURANCE COVERAGE?

While customs duties may be recoverable, compensation for the goods themselves, worth crores of taka, depends on insurance coverage or on the storage authority responsible for maintaining the cargo facility.

For most importers, insurance is the only safeguard against such disasters, but many consignments, especially from smaller firms, are underinsured or uninsured.

Khaled Mamun, chief executive officer of Reliance Insurance PLC, said that companies from a range of sectors, including food, ready-made garments, chemicals, cement, pharmaceuticals, and power, have filed insurance claims following recent incidents.

"As of now, around 80 entities have submitted claim documents, with the total claimed amount reaching around Tk 25 crore," he said.

He also noted that these initial figures are based on preliminary estimates.

A detailed survey will be conducted to assess the actual extent of the damage, after which the approved claims will be settled accordingly, he added.

Syed Sehab Ullah Al-Manjur, CEO of Pragati Insurance, said they have received claims from around ten clients across sectors like RMG and pharmaceuticals, which are under review to assess the extent of the damages.

SM Mahbubul Karim, CEO of Nitol Insurance, said four to five companies have submitted preliminary claim information, with a full assessment expected in two to three days.

Among the affected, Zakir Hossain has insurance coverage for some of his consignments.

"While there is hope for a duty refund, I'm not sure what luck awaits me with the insurance," he said.