KARACHI: Collector Customs Adjudication Abdul Basit Chadury has charged the cartel that caused loss of revenue to government exchequer on account of mis-declaration and pilferage of the transit goods enroute to Afghanistan.

Collector Adjudication has ordered recovery of duty & taxes of Rs158 million, which was evaded through mis-declaration and pilferage of transit goods by M/s Ports Connection, M/s Multitrans Logistics, M/s Peerzada Services International and M/s Ghani’s International.

Abdul Basit Chaudry also imposed a penalty of Rs2.5 million each on the above mentioned four companies. However, the vehicles seized are ordered to be released on the recovery of taxes and penalty amount.

An expert said that release of vehicles raises a question of law as Section 2(s) suggests that vehicles involved/used in smuggling are out-rightly confiscated and these cannot be released in any condition.

According to the details as reported by the Directorate General Of Transit Trade, M/s Ghani’s International electronically filed Goods Declarations through WeBOC system at Directorate of Transit Trade Peshawar (Torkham) on behalf of the Embassy of the United States of America (USA) for  consignments consisting US Army Reverse Cargo declared to contain “Generator Power with Transformer and Equipment  for transit to Karachi Port for export to Dubai.

The invoice/packing list of the consignment clearly declared that the consignment consist of Generators classifiable under PCT heading 8502.000, whereas the description declared in the GD was Generator Power with transformers PCT heading 8501.6490 to hoodwink the Customs Authorities. As per the report of the GD the containers were inspected and seal verification was made at Torkham.

The carrier of the container from Torkham to Karachi Port was M/s. Ports Connection (Pvt) Ltd. The Consulate General of USA had authorized to M/s Multitrans Logistics (Pvt) Ltd and M/s Ghani’s International Customs Clearing Agency to take delivery, handling and clearance of the said consignment.

The Directorate learnt that goods had been pilfered en-route accordingly during perusal and observation of the scanning images and weighment slips of the GDs, the images of the instant consignments did not appear as per the description declared in the invoice and Packing list.

Discrepancy was also observed between the scanning images of containers taken at Torkham and Karachi Port as well as the weighment done at Torkham and Karachi Port. Therefore, staff examined the consignment physically in the presence of representatives of M/s. Multitrans International (Pvt) Ltd, M/s. Peerzada Services International being the authorized representative of US Consulate General.

During examination shipper and custom seals were found intact. However, the generating sets declared in the invoice and packing list were not found in the containers. There was ample evidence that generating sets were removed from the containers. The photographs taken at the time of examination also confirmed the same.

The Directorate in the challan submitted the bonded carrier and the authorized Agents did not fulfill their responsibilities to carry/transit the cargo in safe and sound condition. Thus, M/s. Ports Connection (Pvt) Ltd., bonded carriers M/s Multitrans Logistics (Pvt) Ltd., M/s Peerzada Services international Clearing & Forwarding agents, M/s Ghani, M/s. Bilal Associates and drivers of the vehicles violated the rules and laws.

After due deliberations and hearing both the sides, the Collector Adjudication established the allegations and ordered recovery of duty and taxes of Rs158 million as well as penalty of Rs2.5 million each on  M/s Ports Connection, M/s Multitrans Logistics, M/s Peerzada Services International and M/s Ghani’s International.