KARACHI: The Federal Board of Revenue (FBR) has suspended an official of Pakistan Customs for three months on charges of inefficiency.

According to a notification, the FBR said that the decision had been taken while exercising powers conferred under Rule 5(1) of the Government Servants (Efficiency & Discipline) Rules, 1973, the Competent Authority has placed Muhammad Arshad, Inspector, Model Customs Collectrate, Islamabad under suspension for a period of three months with immediate effect.

The Federal Board of Revenue (FBR) has also imposed major penalty upon Ansar Majeed, BS-16 Auditor Officer of Inland Revenue on charges of charges of inefficiency, misconduct, corruption and negligence of duty.

KARACHI: The Islamabad High Court Single Bench has passed an order and dismissed all the promotions notified in the civil bureaucracy for being in violation of the rules. IHC has also directed to devise the promotion formula afresh.

This order of the Islamabad High Court has adversely impacted the entire schedule of transfers and posting in the civil bureaucracy.

However, Establishment Division has planned to challenge the order of IHC . The basis of this appeal is Article 212 of the Constitution, which barred high courts from dealing matters related to the terms and conditions of civil servants.

Section 3(2) of the Service Tribunal Act, 1973 provides that the matters relating to the terms and conditions of service of the civil servants fall within the exclusive jurisdiction of the Service Tribunal.

The Federal Services Tribunal has this jurisdiction. The judgments of Federal Services Tribunal can only be challenged before the Supreme Court.

It may be mentioned here that Inland Revenue Officer Aijaz Shah (Grade-21), Sardar Zulfiqar of Pakistan Customs, Umer Mehdi of Customs and others had filed the petition in the Islamabad high Court challenging the promotions notified earlier this year.

Establishment Division will seek stay against the order of Islamabad High Court and afterwards the transfers and postings will be notified.

Justice Shaukat Aziz Siddiqui in its judgment noted that the promotions of officers could not be stayed just on the basis of allegations.

The petitioners submitted that senior officers were ignored and juniors were promoted and prayed to dismiss the promotions.

KARACHI: Director General Intelligence & Investigation Customs Lutfullah Virk headed the Directors Conference in Islamabad on Tuesday. The Conference was attended by six Customs Intelligence directors from all over the country. The conference also discussed the bifurcation of I&I Customs.

However, Director I&I Karachi Asif Marghoob Siddiqui did not attend the conference allegedly because of his differences with the Director General.

I&I Directors presented performance review reports of their anti-smuggling initiatives and activities in the year.

Sources said that the Conference devised an outline of future course of action against smuggling in the light of reports received from various intelligence agencies.

Sources said that Lutfullah Virk is due to be retired after two months however given his extra-ordinary services, Virk would be appointed on contract basis and he would continue to head I&I.

The conference put special emphasis on the jurisdiction of Directorate Karachi, Directorate Quetta, Directorate Peshawar and Directorate Lahore. These were declared highly sensitive.

KARACHI: MCC Preventive has seized a liquor consignment at East Wharf valuing around Rs20 million. It was imported from Jabel Ali and a Transshipment (TP) was filed for Peshawar. The importer had declared the goods to be miscellaneous beverages.

Collector Preventive Tariq Huda had this information that liquor was being imported from Dubai in the garb of TP so he advised Additional collector Feroz alam Junejo, Assistant Collector Raza Naqvi to be vigilant.

Port Control Unit SPS Sardar Qayyum and Senior Preventive Officer Mohammad Shamim Akhtar and Sealing Section’s SPS M.I Iqbal detected through the system the presence of liquor in the container.

Bonded Carrier M/s Docks Private Limited was to transport the consignment to Peshawar. An FIR to this effect would be lodged on Wednesday. Collector Preventive Tariq Huda would hold a press conference in the evening to apprise media of the details.

Apropos to the news captioned ’Dismissal of bureaucrats promotion; Establishment Division to challenge IHC order’, it is stated that the order of Islamabad High Court was under-reported.

As the complete details have been received, the subject story has become ‘outdated’. IHC has not dismissed the promotions in the civil bureaucracy.

We will soon be posting the updated story with complete details.

Inconvenience is regretted.

KARACHI: The Islamabad High Court (IHC) has directed Establishment Division to reframe the formula pertaining to the promotions of civil servants and ordered that the cases of employees of BS-21 for promotion to BS-22 be placed before the high powered selection board within one month.

“Civil servants, who have already been promoted on the basis of seniority and met the required threshold are concerned, shall retain their position, however in case petitioners are also promoted and vacancies are less, then senior amongst the officers will hold the position,” the court noted in its order pertaining to petition filed by several bureaucrats challenging the recently notified promotions.

The High Court in its order noted that the assessment of officers shall be made on the basis of entire performance and in case any tangible material asking question about integrity of civil servants is available, any opinion of deferment or suppression may be made but not on the basis of hypothesis and reputation in air.

The Court said that formula of award of 15 marks at the disposal of Central Selection Board (CSB) with overriding effect of 05 marks and thereby placing the civil servants in categories A,B,C is against the dictums laid down by Supreme Court.

The discretion of award of marks by the CSB cannot bring the ACRs/TERs evaluation into naught and CSB can only grant marks out of 15 at its discretion and marks of quantification to be added in making recommendations for promotion.

The Court declared the entire process carried out by CSB on the basis of formula introduced through Policy of 2012 as illegal.

An FBR official said that before the arrival of detailed judgment, there was confusion and it was rumored that the entire promotions had been dismissed.

“The Court has not dismissed the promotions, but cases of officers who were not promoted despite of seniority have been referred for reconsideration,” the official said.

The official added that there would be no impact on the upcoming transfers and postings in the Board.

KARACHI: The Federal Board of Revenue (FBR) has notified revised rates of withholding tax for Section 231B of the Income Tax Ordinance, 2001 effective July 01, 2015.

Advance tax on purchase, registration and transfer of motor vehicles under Section 231B shall be collected as per the following schedule:

Advance tax will be Rs10,000 for both filers and non-filers on motor vehicles having engine capacity up to 850cc;

Advance tax will be Rs20,000 for filers and Rs25,000 for non-filers on motor vehicles having engine capacity 851cc to 1000cc;

Advance tax will be Rs30,000 for filers and Rs40,000 for non-filers on motor vehicles having engine capacity 1001cc to 1300cc;

Advance tax will be Rs50,000 for filers and Rs100,000 for non-filers on motor vehicles having engine capacity 1301cc to 1600cc;

Advance tax will be Rs75,000 for filers and Rs150,000 for non-filers on motor vehicles having engine capacity 1601cc to 1800cc;

Advance tax will be Rs100,000 for filers and Rs200,000 for non-filers on motor vehicles having engine capacity 1801cc to 2000cc;

Advance tax will be Rs150,000 for filers and Rs300,000 for non-filers on motor vehicles having engine capacity 2001cc to 2500cc;

Advance tax will be Rs200,000 for filers and Rs400,000 for non-filers on motor vehicles having engine capacity 2501cc to 3000cc;

Advance tax will be Rs250,000 for filers and Rs450,000 for non-filers on motor vehicles having engine capacity above 3000cc.

The rate of tax on transfer of registration or ownership of vehicles as per sub-section (2) of Section 231B will be Rs5,000 for non-filer and nil for filer on vehicles having engine capacity up to 850cc; Rs5,000 for filer and Rs15,000 for non-filer on motor vehicles having engine capacity 851cc to 1000cc; Rs7,500 for filer and Rs25,000 for non-filer on motor vehicles having engine capacity 1001cc to 1300cc; Rs12,500 for filer and Rs65,000 for non-filer on motor vehicles having engine capacity 1301cc to 1600cc; Rs18,750 for filer and Rs100,000 for non-filer on motor vehicles having engine capacity 1601cc to 1800cc; Rs25,000 for filer and Rs135,000 for non-filer on motor vehicles having engine capacity 1801cc to 2000cc; Rs37,500 for filer and Rs200,000 for non-filer on motor vehicles having engine capacity 2001cc to 2500cc; Rs50,000 for filer and Rs270,000 for non-filer on motor vehicles having engine capacity 2501cc to 3000cc and Rs62,500 for filer and Rs300,000 for non-filer on motor vehicles having engine capacity above 300,000.

The tax to be collected on transfer of vehicles shall be reduced by 10 percent each year from the date of first registration in Pakistan and there will be no collection of tax on transfer of vehicles after five years from the date of first registration in Pakistan.

KARACHI: Collector MCC Appraisement East Manzoor Memon, who has illegally holding transport permits of consignments being transported to Lahore dry port, has also put three officers on duty-off for legally clearing a TP consignment and allowing out of charge.

The IDs of these three officers including Assistant Collector Mohammad Faisal, Principal Appraiser Sikander Junejo and Appraising Officer Mohammad Fayyaz. These officers processed a Transshipment consignment as per the rules and laws.

Sources said that Memon was willing to increase his collectorate’s collection by usurping the jurisdiction of other collectorates. As the above mentioned officers processed the TP, Memon’s bid to usurp revenue of Lahore dry port was foiled. Collector Appraisement East could not be contacted to comment on the issue.

According to the details of the case M/s Bashir Pipe Industries, M/s HH Cold Rolling & tube Mills, M/s H.H Industry and M/s Asim Wire Nut Bold Industry imported consignments of prime hot rolled alloy steel sheets in coils, wire rod and billets for manufacture of  steel welded tubes and pipes.

These goods were imported in break bulk vessels and importers filed TP, which Collector MCC Lahore allowed and accordingly officers at MCC Appraisement East allowed the transshipment of goods and the goods were out of charge.

Delivery in respect of about 40 percent of the quantity of imported goods have already taken place, removed from port of entry to port of destination.

Later, the importers were seriously prejudiced on taking delivery of remaining balance quantity as the Manzoor Memon stopped giving delivery of goods and called back the original TPs from bonded carriers in which removal of goods was already allowed and goods were out of charge.

He raised the objection that the goods were not shipped in containers in terms of SRO 450(I)/2001.     The importers are of the opinion that the cargo comprise of bulk and heavy goods and was shipped in bulk vessel as these could not be stuffed in containers while the SRO 450(I)/2001 also provides transportation of heavy and bulk goods without container.

It provides that in exceptional cases, if any problem is faced in stuffing of LCL cargo in container, the bonded carrier shall approach the concerned Assistant or Deputy Collector of the port of entry who may allow transshipment of such goods in loose form subject to additional conditions, sealing requirements and other safeguards, as he deems appropriate.

Importers said that they were incurring heavy demurrages because of these inappropriate act of Collector Appraisement West.

Sources said that the goods held-up attracted duty and taxes of over Rs200 million and Manzoor Memon was desperate to show increased revenue collection to avoid his transfer from this ‘lucrative’ post.

Four Grade-20 postings are considered most important in Pakistan Customs include DG I&I, Collector Appraisement West, Collector Appraisement East and Collector Port Qasim. FBR is set to notify large scale transfers and postings.

Surayya Ahmed Butt Collector Port Qasim is willing to leave her post to go for training while Mohammad Saleem Collector Appraisement West is interested to go to FBR Islamabad while Manzoor Memon Collector Appraisement East is using excuses to avoid training.

Sources said that FBR is quite committed to remove Manzoor Memon from his existing post because of his not good reputation.

Similarly, Director Customs Intelligence Asif Marghoob Siddiqui is also using excuses to avoid management training and wants to keep his lucrative posting.

KARACHI: After the Islamabad High Court has advised Establishment Division to revise promotion formula and referred the cases of several officers for reconsideration, a number of officers are likely to be promoted in higher grades.

Sources said that if the judgment of IHC is not challenged by the Establishment Division, four Grade-20 officers of Pakistan Customs are very likely to be promoted in Grade-21. These include Khawar Farid Maneka, Imran Tariq, Syed Zulfiqar Ali Shah Kazmi and Khawaja Umer Mehdi.

Sources said once these four officers of Grade-20 are promoted, chances will be brighter for the promotion of Grade-19 officers of Pakistan Customs.

Officers likely to be promoted in Grade-20 include Mohammad Iqbal Bhawana, Imiaz Ahmed Shaikh, Faiz Ahmed, Gul Rehman, Nasrullah Khan Wazir, Amer Rashid Shaikh, Mohammad Asghar Khan, Wajid Ali, Shahnaz Maqbool, Ahmed Rauf and Imran Khan Mohmand.

Sources said that vacancies in Grade-20 are available in Customs to accommodate these officers. However, vacancies in Police, DMG and Inland Revenue have been filled up and if these scheme is implemented there, junior officers who were promoted to higher grades would have to be reverted back.

It may be mentioned the Islamabad High Court (IHC) has directed Establishment Division to reframe the formula pertaining to the promotions of civil servants and ordered that the cases of employees of BS-21 for promotion to BS-22 be placed before the high powered selection board within one month.

The High Court in its order noted that the assessment of officers shall be made on the basis of entire performance and in case any tangible material asking question about integrity of civil servants is available, any opinion of deferment or suppression may be made but not on the basis of hypothesis and reputation in air.

The Court said that formula of award of 15 marks at the disposal of Central Selection Board (CSB) with overriding effect of 05 marks and thereby placing the civil servants in categories A,B,C is against the dictums laid down by Supreme Court.

The discretion of award of marks by the CSB cannot bring the ACRs/TERs evaluation into naught and CSB can only grant marks out of 15 at its discretion and marks of quantification to be added in making recommendations for promotion.

The Court declared the entire process carried out by CSB on the basis of formula introduced through Policy of 2012 as illegal.

KARACHI: As was anticipated, the Federal Board of Revenue (FBR) has notified large-scale transfers and postings in Pakistan Customs Service as Grade 21 and Grade-20 officers have been reshuffled.

The officers who have been made Members of the Board will be notified of their exact offices afterwards.

According to details, Grade-21 officers include Nadir Khan Hoti has been made Director General, Directorate General of Post Clearance Audit, Islamabad as he is moved from his earlier posting as Chief Collector of Customs (North), Islamabad;

Muhammad Nazim Saleem has been posted as Member, Federal Board of Revenue (Hq), Islamabad from his earlier posting as Chief Collector (Enforcement), Karachi;

Nasir Masroor Ahmad has been posted as Director General, Directorate General of Reforms & Automation (Customs), Islamabad from his earlier posting as Chief Collector of Customs (Appraisement-South), Karachi;

Juneid Akram has been posted as Member, Federal Board of Revenue (Hq), Islamabad from his earlier posting as Director General, Directorate General of Post Clearance Audit, Islamabad;

Mrs. Adila Rehman has been posted as Member, Federal Board of Revenue (Hq), Islamabad from her earlier posting as Director General, Directorate General of Reforms and Automation, Islamabad;

Muhammad Javed Ghani has been posted as Director General, Directorate General of Transit Trade, Karachi from his earlier office of Collector, Model Customs Collectorate of Exports, Custom House, Karachi;

Abdul Rashid Sheikh has been posted as Chief Collector of Customs (Appraisement-South), Karachi moved from his earlier office of Director, Directorate General of Customs (Valuation), Karachi;

Muhammad Zahid has been posted as Chief Collector of Customs (Enforcement), Karachi from the office of Collector, Model Customs Collectorate of Appraisement, Lahore;

Ms. Sarwat Tahira Habib is moved to the office of Chief Collector Customs (North), Islamabad from the post of Director, Directorate General of IPR (Enforcement), Islamabad;

Imtiaz Ahmad Khan has been moved to the post of Director General, Directorate General of IPR, Islamabad (Stationed at Lahore) from his earlier posting as Director, Directorate of Intelligence & Investigation-FBR, Lahore.

Grade-20 officers of PCS who have been transferred include Khawar Farid Maneka as he is posted as Member (OPS) FBR HQ, Islamabad after being removed from the office of Director General, (OPS) Directorate General of Transit Trade, Karachi;

Asif Marghoob Siddiqui somehow managed to stay in Intelligence & Investigation as he is posted as Director, (Customs Anti-Smuggling) Directorate of Intelligence & Investigation, FBR, Karachi after being removed from the office of Director, Directorate of Intelligence & Investigation-FBR, Karachi;

Mohammad Yaqoob Mako is posted as Director, (Customs Enforcement) Directorate of Intelligence & Investigation, FBR, Karachi from his earlier posting as Additional Collector, Model Customs Collectorate of Exports, Custom House, Karachi.

Sources said that transfers and postings of other PCS officers will be notified in the next week.

KARACHI: The Establishment Division has notified nomination of BS-20 officers for 103^rd National Management Course (NMC) at National Management College Lahore.

The BS-20 officers of Pakistan Customs Service nominated for NMC include M. Nasir Khan Member Customs Appellate Tribunal Islamabad and Manzoor Hussain Memon Collector MCC Appraisement East, Karachi.

It was known that M. Nasir Khan is physically unfit and his medical report has been received at FBR. Therefore, he may not attend the course.

Sources said that Manzoor Memon would also not join the course quoting Memon that he was not interested in promotion. However, Memon has made excuse of his health.

It may be mentioned here that Grade-21 is not much desirable in Customs. There are a very few postings in Grade-21 including Chief Collector while there is only one Member Customs in FBR while other Members of the Board from Customs Group do not get ‘lucrative’ seats.

The IRS officers nominated for the course include Rukhsana Saeed Commissioner RTO-III, Karachi, Ghazanfar Hussain Commissioner RTO Sialkot, Ashfaq Ahmed Tunio Commissioner RTO Karachi, Farrukh Ansari Commissioner LTU Karachi, Mohammad Tariq Masood Chief FBR Islamabad, Attiya Naheed Hakeem Commissioner RTO Islamabad, Dr. Mohammad Ali Khan Commissioner LTU Karachi and Saifullah Khan Commissioner Appeals-III Karachi.

KARACHI: Chairman Federal Board of Revenue (FBR) Tariq Bajwa has left for Dubai on Friday to attend the meeting with IMF, Member Customs Nisar Mohammad Khan is already in Dubai for this purpose. The meeting is being held for policy level talks between Pakistan and IMF.

IMF role has always been very important in Pakistan’s economy. Through structural adjustments, loans, specific agendas and multiple suggestions and advices, IMF is greatly involved in improving Pakistan economic condition apart from the fact that Pakistan’s real economic growth and development lies in its self-sufficient position without any external help.

The current meeting of FBR authorities with IMF is in continuation of the previous so many meetings held to discuss issues of expansion of tax base, improving Tax to GD ratio, maximization of revenues and tax reforms etc.

In this meeting, FBR will apprise IMF about growth in revenue collection for the year 2014-2015 and inform them about their strategy and efforts in this regard.

It will include review of $6.64 billion extended fund facility (EFF) programme. Focal point, however, will be discussion on revenue generation. FBR will inform IMF that Pakistan’s economy is showing signs of improved activity.

Another important point on the agenda is to discuss and examine possibility of replacing Single Staged Sales Tax (SSST) with existing standard rate of 17 percent sales tax.

FBR will seek guidance from IMF regarding crucial tax reforms of indirect taxes and cooperation in some key tax areas particularly General Sales Tax (GST) structure.

It is hoped that IMF will greatly improve comprehension of FBR on these issues and provide guidance for future strategic decisions.

KARACHI: The Federal Government has revised the rate of sales tax on import and supplies of petroleum products with effect from August 01, 2015.

According to SRO 720(I)/2015, sales tax at the rate of 20 percent ad valorem will be applicable on import and supply of (petrol) i.e. motor spirit excluding HOBC under PCT 2710.1210.

Moreover, tax has also been imposed on HOBC at the rate of 17 percent ad valorem, which earlier was none.

Government has also imposed 20 percent sales tax on import and supply of Kerosene and 20 percent tax on import of light diesel oil.

Meanwhile, sales tax on import of high speed diesel oil has been increased to 36.5 percent from 34 percent earlier.

It may be recalled that earlier notification No 383(I)/2015 suggested 20 percent sales tax on motor spirit and 34 percent tax on High speed diesel oil.

KARACHI: The Customs Appellate Tribunal has set aside the order passed by Customs Adjudication imposing fines and penalties on mobile accessories importer namely M/s Abdul Aziz & Brothers.

According to the details of the case, Customs Intelligence & Investigation Karachi intercepted a container imported by M/s Abdul Aziz & Brothers. The consignment was cleared by MCC Appraisement West.

The container was examined and it was reported by Customs I&I that the goods were grossly mis-declared. In order to ascertain correct HS Code and assessable value of the found items, the representative samples and inventory of goods was forwarded to MCC Appraisement West.

Based on the applicable HS Codes and values provided by the Colletorate, the total assessable value was worked out to Rs10.215 million against Rs5.034 million assessed by the Collectorate. The total short-levied amount of duty/tax was worked out to Rs2.512 million.

The importers were issued a show cause notice and later Customs Adjudication ordered confiscation of goods with an option to pay 35 percent redemption fine along with leviable duty and taxes. A penalty of Rs200,000 was also imposed on importer.

Being aggrieved and dissatisfied, importer approached Customs Appellate Tribunal. Nadeem Mirza represented the importer M/s Abdul Aziz & Brothers.

Mirza submitted that the goods of the importers were lawfully imported and cleared after completion of all the codal formalities, hence the act of detention/seizure of goods and preparation of contravention report was without legal authority and in violation of certain provisions of law. Nadeem Mirza also referred to several other cases vis-à-vis orders of legal forums in support of his case.

After detailed deliberations and hearing both sides, the Customs Appellate Tribunal observed that the actions of Directorate General of Intelligence & Investigation in the instant case is unlawful and void ab-initio.

The Tribunal set aside the Show Cause Notice issued to M/s Abdul Aziz & Brothers as well as the order-in-original.

KARACHI: Over a hundred iron/steel importers have approached Sindh High Court challenging the legality of SRO No. 18(I)/2015, which has imposed 5.0 percent regulatory duty on flat rolled products of iron or non-alloy steel.

According to the details reaching Customnews.pk, import of above mentioned goods from China attracts customs duty at 5.0 percent as per SRO 659(I)/2007.

However, in the meanwhile SRO No. 18(I)/2015 was issued that regulatory duty has been imposed over and above to the leviable customs duty on the goods classifiable under PCT 72.10 at the rate of 5.0 percent.

The importers are of the view that they are not liable to pay import/customs duties beyond the cumulative incidence of 5.0 percent on goods imported from China, which is under multi-lateral trade agreement between the two governments.

The imports submitted in their petitions before the court that they needed their consignments for home consumption on payment of lawful levible customs duty but the Customs were bent upon to collect the duty at 10 percent i.e 5.0 percent under SRO 659(I)/2007 and 5.0 percent under SRO 18(I)/2015.

The importers in their petition mentioned that Lahore High Court has already suspended the functioning of SRO 18(I)/2015.

The importers prayed to the Court to declare that the subject goods imported from China are not chargeable over and above 5.0 percent. They further prayed that pending the disposal of subject petitions the operation of SRO 18(I)/2015 may be suspended to the extent of materials imported by the petitioner importers and Customs be restrained from charging regulatory duty on steel imports from China.

KARACHI: Pakistan Afghanistan Joint Chamber of Commerce & Industry (PAJCCI) would take all steps to promote bilateral trade across the borders of Pakistan and Afghanistan and to bring the parallel trade into documented economy; therefore it is imperative to point out smuggling prone items and to made fiscal reforms to encourage genuine businessmen and deter miscreants which would help increase in GDP and tax collection.

This was stated by Muhammad Zubair Motiwala, President, PAJCCI & former President, KCCI at an Interactive session with D. Richard Rasmussen, Economic Officer of the US Consulate General at PAJCCI Secretariat in Karachi.

Fahad Zaidi, Economic Specialist of US Consulate General Office Karachi, A. Q. Khalil, Director, PAJCCI & former President, KCCI, Junaid Esmail Makda, Director PAJCCI & former Vice President, KCCI, Abdul Basit and Qazi Zahid Hussain, Director PAJCCI & former Managing Committee Members, KCCI were also present.

Motiwala informed that he visited official seminars and conferences with PAJCCI Directors to various countries including Tajikistan to promote export and to gain market access for Pakistan in CIS countries thorough Afghanistan. He said that restoration of confidence in the mind-sets of businessmen of Afghanistan is vital since they have been through such hostile environment of war.

Motiwala deliberated that we also have to make in-house reforms like improving road/railway networks, cut taxes, enhance contacts with business community across the border and to improve Customs clearance time and scanning ratio of transit trade goods.

US Economic Officer appreciated initiative of PAJCCI for holding such forum to resolve transit trade issues. Motiwala said that Pakistan is the largest trade Partner of Afghanistan and we can do a lot to improve the socio-economic and living conditions of Pakistan through increase in legitimate trade. He said that the concept of PAJCCI is to approach all mediums including the representatives from Afghan Consulate, Ministry of Commerce, relevant custom officials, clearing agents, bonded carriers and stakeholders to resolve any potential limitations that can obstruct bilateral trade among Pakistan and Afghanistan.

In the said meeting, Junaid Makda elaborated upon the initiatives of PAJCCI and its role in Afghanistan Pakistan Transit Trade Coordination Authority. He further highlighted PAJCCI performance in a span of three years and the implementation progress of 50 Articles which were signed and agreed upon in the APTTCA meetings by all stakeholders. Makda said the PAJCCI has conducted various meetings & conferences across the border to promote investment, seminars for enhancement of stakeholders’ confidence across the border between Afghanistan, Pakistan and India to eliminate non-tariff barriers.

A Q Khalil informed about his presence in Afghanistan and at Chaman Border to resolve transit trade issues and to implement core decisions as agreed upon in APTTCA meeting in the presence of PAJCCI directors from both Chapters, Customs officials and commercial counselors which would be critical to help resolving day-to-day trade issues.

He said that strengthening of banking channel and IT automation in Afghanistan could increase the trade and promote documented economy. A Q Khalil expressed his views that now is the golden chance that during the current tenure of Ashraf Ghani trade ties could be better than ever. He said that we should capitalize on the initiatives offered by Afghan President in his meeting with PAJCCI office bearers. He further stressed that Pakistan’s tariff is too high and should be rationalize to eliminate smuggling between the two countries.

Qazi Zahid informed that currently importers are facing problems due to excessive scanning and disputes in partial insurance claims of cargo containers.

Abdul Basit informed that various major household commodities are being smuggled in the guise of transit trade including tyres, black tea, major electronics items including TV, DVD players, blades & FMCG goods. As a result, majority of legitimate businessmen who wants to import those goods by paying all duties are forced to discontinue import.

He said that it must be stopped since it is discouraging licenced manufacturers of those goods and their presence in Pakistan is at risk.

Junaid Makda emphasized strongly on the significance of establishing infrastructure for medical, law enforcement, banking channel, bourse (Stock Exchange) and educational institutions for the general public of Afghanistan under private public partnership. He said that under PAJCCI’s umbrella we are hopeful to eliminate issues of smuggling and undocumented economy.

Motiwala emphasized that its only possible through fiscal reforms like Customs Duty and direct / indirect tax reduction on selected smuggling prone items that we could decrease difference between legitimate trade and informal trade. He said that the Government should focus on to increase the cost of doing business for persons engaged in import of non-duty paid goods.

Delegates from US Consulate inquired about potential for US companies to do business in Afghanistan with their Pakistani counterparts and potential challenges including law and order. Speaking at a meeting during their visit to PAJCCI office, they praised the efforts made by PAJCCI to enhance formal trade and documented economy between Pakistan and Afghanistan.

Motiwala reiterated that we have to adopt long term strategy to boost the economy of Afghanistan and make it self-sufficient by exploring minerals / natural resources, improvement in railway networks and increase in exports. He also said that through the platform of PAJCCI we could strive hard and look forward to double the trade targets by FY 2016.

KARACHI: The Customs Court has granted bail to two of the accused involved in the pilferage of NATO/ISAF container. These include Saad Zulfiqar Manager DP World and Malik Asad of M/s Port Connection.

Sources said it was a high profile case and judiciary was very cautious in this regard. These men were granted bail after four months.

The Directorate General of Intelligence & Investigation (I&I) Customs has submitted the seizure report for adjudication proceedings, nominating several persons as accused in the unauthorized pilferage and removal of bonded goods from consignments of ISAF forces meant for re-exportation to ISAF Germany via Port Mohammad Bin Qasim.

The offenders nominated in the seizure report include M/s Bin Qutub International, M/s Tri Wah Logistics, M/s Saryal Cargo Channel and Customs Clearing Agency, M/s Trade Link International, M/s Ports Connection, M/s DP World and focal officer for ISAF reverse cargo of US Consulate Karachi.

The assessable value of pilfered goods has been estimated at Rs21.364 million and duty/taxes involved comes to Rs11.246 million.

It was the information of DG I&I Lutfullah virk while Additional Director Nadeem Ahsan and Intelligence officer Fakhar Shah made remarkable progress in the case.

According to details, a credible information was received in the Directorate General of Intelligence & Investigation-FBR that M/s. Ports Connection Bonded Carrier and M/s Saryal Cargo Channel & Customs Clearing Agency with the active connivance of other associates-in-crime are involved in the illegal and unauthorized pilferage/removal of bonded goods from the containers of various consignments of ISAF reverse transit cargo meant for re-exportation from Mazar Sharif, Afghanistan to ISAF Germany through Customs Station Torkham via Port Muhammad Bin Qasim, Karachi, Pakistan.

The source further disclosed that number of such consignments where from goods had been pilfered are lying pending re-export at Port Muhammad Bin Qasim for the last more than four months and no action has so far been taken by the concerned quarters.

In pursuance of aforesaid information a team of officers of the Directorate General of I&I Karachi conducted preliminary investigation and identified 18X40 ft containers of ISAF, reverse transit cargo arrived from Customs Station Torkham, to Port Muhammad Bin Qasim.

The under reference containers were detained and copies of relevant export Goods Declarations along with related export documents were procured from the concerned clearing agents M/s Trade Link International who have been authorized by US consulate, Karachi to handle ISAF reverse transit cargo at Karachi for export to Germany.

From the perusal of the export documents, it transpired that M/s Saryal Cargo Channel & Customs Clearing Agency, who are also authorized by the US Consulate, Karachi to handle ISAF reverse transit cargo, during the period September 23, 2014 to December 23, 2014, filed re-export Goods Declarations along with relevant documents on behalf of ISAF at Customs Station Torkham, Custom House, Peshawar, declaring therein the description of the consignments as Batteries filled with Acid and Lamps and completed customs required procedural formalities.

The original GDs procured from the clearing agents revealed that the containers were inspected by the Customs staff posted at Torkham and containers numbers as well as intact seals affixed by the shippers were verified at the time of entry at Torkham.

Furthermore, the weight of the containers was also checked at Torkham where after inspection reports were endorsed on the reverse of Goods Declarations. The said consignments were thereafter transported to Port Muhammad Bin Qasim Karachi, by M/s Ports Connection (Pvt) Ltd Bonded Carrier for its onward re-exportation to ISAF Germany, while further Customs handling at Karachi was to be carried out by the authorized clearing agents M/s Trade Links International.

Reportedly out of 18 containers lx40 ft container was also detained by ANF authorities. In order to confirm the veracity of the information, remaining 17X40 ft containers having apparently intact seals affixed by the shipper and customs, were examined by the staff of Directorate General at Port Muhammad Bin Qasim.

On physical examination 8X40 ft containers were found to be stuffed with waste materials goods like Wooden Pallets, Sand Bags, Concrete Blocks and 01 Box Used Tube Lights against declaration of Batteries filled with Acid/Lamps etc. Remaining 9X40 ft containers were found as per declarations in the relevant GDs. Eight containers were seized.

Investigations revealed state of affairs which established that officials of M/s DP World somehow facilitated the contended shipment of pilfered ISAF reverse cargo.

Moreover, the role of officers/officials of Directorate of Transit Trade posted at the exit Collectorate is also being examined.

It has been established that ODRP focal person of US Consulate General Karachi and all other persons responsible for transit of ISAF reverse cargo have abetted illegal removal of dutiable boned goods by substituting the same with wooden pallets and waste to cover up the offence. Sources said that Ministries of Defense and Foreign Affairs were onboard the case.

It may be recalled that Directorate of Transit Trade has also made cases pertaining to the pilferage of 21 containers of US Army and arrested drivers, broker of vehicles, manager of M/s Bilal Associate and others, but none of them were given bail even after 5 months

The accused also approached High Court for bail, but no one was entertained. Only Shahid Ansari owner of M/s Bilal Associate was granted bail on medical grounds.

KARACHI: Iron and steel industry in Lahore is running short of raw material as MCC Appraisement East has illegally stopped transshipment (TP) of their consignments imported from China for home consumption.

These consignments were shipped in bulk carriers because of the nature of products, which could not be stuffed in containers. But, Collector MCC Appraisement East who has earned a bad name has stopped processing of these TPs destined for dry port Lahore.

The TPs for the above mentioned consignments were filed by bonded carriers namely M/s Limsa Agencies Pvt Ltd, M/s M.A Land Pvt Limited, M/s Tricon Shipping and M/s Al-Tajir.

Importers are of the view that Manzoor Memon was intentionally delaying these consignments through various excuses to force the importers getting their consignments cleared in Karachi.

According to Law, a Collectorate cannot stop the TP consignment. Assistant Collector or Deputy Collector’s approval is required for filing TP pertaining to bulk loose cargo while Deputy Collector Port after physical examination can give the approval.

Despite completion of legal obligations and formalities, the assessment staff is not processing the consignments. Sources said that Manzoor Memon had strictly advised the assessment staff that these bulk loose cargo TPs must not be processed.

Talking to Customnews.pk, importers said that only MCC Appraisement East was having such problems and hurdles while all other Collectorates were doing fine.

It may be recalled that Manzoor Memon, who had illegally holding transport permits of consignments being transported to Lahore dry port, finally cleared the goods after the importers approached high-ups.

Sources said that Memon was willing to increase his collectorate’s collection by usurping the jurisdiction of other collectorates.

Importers said that they were incurring heavy demurrages because of these inappropriate acts of Collector Appraisement West.

Sources said that the goods held-up attracted duty and taxes of millions of rupees and Manzoor Memon was desperate to show increased revenue collection to avoid his transfer from this ‘lucrative’ post.

Sources said that FBR is quite committed to remove Manzoor Memon from his existing post because of his not good reputation and attitude. He has been nominated by Establishment Division for the management course.

KARACHI: The Directorate of Post Clearance Audit has made remarkable performance in the month of July 2015 and detected 25 cases involving revenue of Rs62.888 million.

Post Clearance Audit headed by Director Gul Rehman detected one case pertaining to short payment of customs duty of Rs11.483 million and sales tax/WHT Rs38.585 million under SRO 450(I)/2001; short payment of anti-dumping duty, additional sales tax, FED and income tax to the tune of Rs2.154 was also detected. PCA also uncovered revenue leakage of Rs0.847 million due to the inadmissible benefit of SRO 565(I)/2006.

Gul Rehman and his team also identified short payment of sales tax and corresponding income tax in violation of SRO 1125(I)/2011 to the tune of Rs3.892 million.

The exchequer would have suffered a loss of customs duty Rs2.832 million and sales tax Rs3.091 million, if PCA had not detected mis-declaration of value and non application of valuation rulins as well as misuse of SRO 659(I)/2007.

PCA also detected three cases of DTRE for unconsumed quantity/wastage of material inputs imported under DTRE scheme.

Moreover, the Directorate prepared 33 contravention reports and 22 Audit observations during July 2015 involving total of duty and taxes of Rs151.731 million.

KARACHI: As the recently promoted officers of Pakistan Customs Service have assumed their new officers a couple of important officers are lying vacant as transfers and postings of Grade-20 officers are yet to be notified.

Large-scale transfers and postings of Customs officers ranging from Grade-20 to Grade-17 are due to be announced and it is reported that the same will be notified after Chairman FBR Tariq Bajwa and Member Customs return from Dubai.

Chief Collector Appraisement South Abdul Rasheed Shaikh and Director General Transit Trade Javed Ghani, Director of Intelligence and Investigation (Enforcement) Yaqoob Mako have assumed their offices.

These officers were promoted recently afterwards their new postings were announced. Chief Collector Enforcement Zahid Khokhar would assume his new office on Wednesday, August 8, 2015.

After the recent transfers and postings the office of Director Customs Valuation is lying vacant as former Director Abdul Rasheed Shaikh has been promoted and transferred.

The office of Collector Exports Karachi is also lying vacant as Javed Ghani has been promoted and transferred to Transit Trade.

Collector Appraisement East and Collector Appraisement West have organized a dinner in the owner of outgoing Chief collector Appraisement South Nasir Masroor and Chief Collector Enforcement Nazim Saleem to be held at Directorate General of Training on Wednesday.

Customs stations including MCC Port Qasim, MCC Appraisement East & West, MCC Hyderabad, MCC Gwadar, MCC Preventive (customs clearance) will be within the jurisdiction of Yaqoob Mako. Director I&I (Anti-smuggling) Asif Marghoob Siddiqui would supervise anti-smuggling activities.

The delay in the transfers and postings of Grade-20 officers is the National Management Course (NMC) for which nominations have been notified by the Establishment Division. Collector Appraisement East Manzoor Memon has been notified for the course, but he is making excuses to avoid the course.

If officers do not go to NMC, Establishment Division would not revise the nominations hence these two promotions of Customs would go in vain and the junior or willing officers would be deprived of promotions.

Sources said that Chairman FBR would likely consult the Establishment Division to nominate some other officers so that Customs Group could not be deprived of promotions.