Adjudication-II imposes Rs0.522 million as fine, penalty on Jass Brothers International

KARACHI: Collectorate of Customs (Adjudication-II) has imposed fine and penalty of Rs0.522 million on Jass Brothers International for concealing goods against declared quantity with intention to evade duty and taxes.
The importer through WeBOC system filed goods declaration for the consignment including glassware (Tea CP/Mug, Bowl Set, Jar Set, Ash Tray, seven pieces fruit set etc.) having quantity of 17420 kilograms as per free trade agreement at $0.85/kg.
The container referred for customs examination and the shed staff reported of the undeclared items 02 to 05 of the GD and such items classifiable under different PCT Headings.
After the identification of misdeclared goods, the clearing agent on behalf of importer recorded the statement stating that the GD was filed in accordance of the import documents provided by the importer. “However, the importer has confirmed to get completion of the assessment in accordance of the examination report,” the clearing agent said.
On behalf of the importer, the clearing agent sought minimum fine and penalty against processing the consignment to prevent further demurrage and detention charges.
The adjudication collectorate observed that the importer misdeclared in terms of description and classification as well as undeclared items were found in the impugned consignment. It is also observed that the WeBOC system is based on self-assessment in which importer declares the description and classification and assesses duty and taxes, and then customs counter checks the declaration, hence the onus of correct declaration and assessment is on the importer. Secondly, the importer’s claim that declaration was made on the basis of supplier’s documents is an afterthought so as to avoid any blames in this regard. However, the claim of the importer is factually wrong and he is guilty of mis-declaration.
On the confirmation of misdeclaration the customs confiscated the goods, however, an option was given to the importer to get cleared the goods on payment of fine at 35 percent of the value of offending goods to the tune of Rs372,648 and penalty with Rs150,000.