MCC Port Qasim seeks encashment of securities by M/s Master Beverages

MCC Port Qasim seeks encashment of securities submitted by M/s Master Beverages

KARACHI: MCC Port Qasim has approached Sindh High Court in an intra-court appeal regarding modification in the Court’s earlier ruling ordering release of M/s Master Beverages & Foods on payment of Rs220 million duty and taxes.

The bench after a detailed hearing dismissing the contempt of court application filed by M/s Master Beverages ordered the plaintiff to go for adjudication. The bench further ordered the plaintiff to pay Rs220 million to Customs while custom was ordered to keep the money safe and not to encash the bank guarantee.

MCC Port Qasim has approached the Court seeking permission to encash the bank guarantees so that the government revenue could be secured. Moreover, Customs is of the view that the goods should not be released until after the adjudication orders and recovery thereof, if any.

MCC Port Qasim has submitted that this is a high-profile fiscal fraud case and Customs is willing to proceed as per law.

The divisional bench of high court would conduct the hearing in this regard on Monday, May 30, 2016.

MCC Port Qasim has detected the largest ever duty/tax evasion on just one consignment to the tune of Rs170 million by M/s Master Beverages and Food Limited, Gujranwala, a company of Master Group largely known for their Master Tiles.

The company attempted to evade legitimate government revenue through under stating the cost of an imported machinery/equipment and concealing the original invoice of higher value.

The M/s Master Beverages & Food Limited then approached High Court requesting initiation of contempt of court proceedings against MCC Port Qasim, as the MCC defied the Court order and did not release their withheld consignment.

The court had ordered MCC Port Qasim to release the consignment of M/s Master Beverages & Food Limited after securing additional duty. The company had approached High Court of Sindh submitting that the authorities were demanding additional customs duty on their consignment.

However, the authorities blocked the consignment comprising 56 containers on the charges of mis-declaration of value.

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