Customs recovers Rs18.7 million from M/s Digicom

KARACHI: MCC Appraisement East has recovered Rs18.7 million from M/s Digicom Trading Pvt Ltd (Qmobile), which was short-paid through availing inadmissible concessions under 5^th and 6^th schedule on the import of LED lights. Moreover, recovery notices for recovery of Rs33 million have also been served on M/s Digicom.

A couple of days earlier, MCC Preventive found a container of the consignment imported by M/s Digicom declared to be LED lights. On examination, the container was found to be stuffed with mobile phones and tablets. The said consignment had been cleared from green channel.

After this incident, Customs got high alert and all the consignments of M/s Digicom were put on hold. MCC Preventive along with MCC Appraisement East conducted joint examination of six containers imported by M/s Digicom declared to contain LED lights. However, the goods were found to be as per declaration.

Assistant Collector Abeer Javed detected inadmissible concessions claimed by M/s Digicom under 5^th and 6^th Schedules. Abeer Javed found that the said concessions, which earlier were available on the import of LED lights had been withdrawn through a Customs General Order (CGO). Therefore, a recovery of Rs18.7 million was made pertaining to the six containers that had been examined.

Meanwhile, Deputy Collector Mohammad Ali Malik has issued notices to M/s Digicom for recovery of Rs33 million which had been evaded in the same manner.

An official said green channel facility actually to facilitate high-profile and reputed importers, but the facility was being grossly misused and the exchequer was suffering a huge loss.

The official said the risk management system (RSM) of Pakistan Customs was inefficient and it had miserable failed to detect revenue leakages. Several high-profile companies had indulged into misdeclaration and revenue evasion since green channel has now become the safest way to import and clear anything by declaring anything and there is no check and balance in this regard.

Sources said a number of consignments are in line to be cleared through the green channel and its is reported that the unscrupulous elements would be clearing high-value and high-tariff goods by mis-declaring the same as low-value and low-tariff goods through the green channel.

Sources said presence of black sheep in the department was the primary reason for the failure of the risk management system.