FBR accuses foreign cargo firm of customs fraud in Karachi

Pakistan’s Federal Board of Revenue (FBR) has accused a foreign cargo handling company of colluding with importers to clear a consignment of electronic items worth over PKR 100 million at the Karachi airport without paying duties.

In a statement, the FBR said high-value electronic consignments were being “removed illegally” without filing goods declarations (GDs) or customs duties and taxes.

It said the scam was allegedly orchestrated by employees of a foreign-based ground-handling company, which was the custodian of the goods. The employees allegedly colluded with importers to forge documents to clear goods worth hundreds of millions from the airport.

FBR said the seized consignment, worth PKR 103 million, included laptops, iPads, iPhones, MacBooks, PlayStations, and memory cards.

The revenue body’s officials also found two consignments that were fraudulently cleared based on fake gate passes. The Collectorate of Customs Airport Karachi has lodged two FIRs and arrested employees of the company allegedly involved in the case.

Investigations revealed that five consignments were illegally removed through this fraudulent modus operandi. These were shipped from the UAE by M/s Pir Jillani General Trading LLC, Dubai. These consignments, packed in two pallets, weighing around 900 to 1000 kg each, were deliberately concealed from the Customs WeBOC system, preventing GD filings and enabling their clearance through fake gate passes.

The total estimated value of evaded duty and taxes involved in the illegal removal of the five consignments is PKR 384 million.

According to FBR, employees of the cargo company manipulated their computerized iCargo system to conceal airway bills for the issuance of fake gate passes for illegal removal of high-value electronic goods.

According to FBR, the foreign company was also refusing to provide CCTV footage and critical records despite repeated requests. This raises suspicion of the complicity of senior management.

The revenue body said some of the accused have been arrested while efforts are underway to recover evaded duties.