KARACHI: Collector Customs Adjudication Quetta has imposed harsh penalties and fines on M/s E-Movers and M/s e-Movers Pvt Ltd, both owned by Mansoor Ahmed Shaikh, for replacing and pilfering transit goods enroute and defrauding government.

Brief facts of the case, staff of Transit Trade office, Chaman thwarted an attempt of pilferage of transit trade goods. The goods consisted of textile fabric destined for Afghanistan. The transit goods were transported from Karachi by M/s E-Movers Karachi whereas destination of the consignment was Spin Boldak, Afghanistan.

The vehicle left Karachi for Chaman on 05.08.2021 and reached Chaman on 8.08.2021. Instead of presenting the consignment to transit staff, the transit consignment was taken by the Bonded Carrier, M/s E-Movers and driver to a private godown.

The transit goods i.e. textile fabrics were being replaced in the container by Pakistani origin fertilizer, but staff of the Transit Trade Chaman raided he premises and foiled the pilferage attempt. The value of recovered textile was Rs38.5 million.

Collector Adjudication observed the seizure was made on the basis of unauthorized movement of transit consignment by the Bonded carrier, M/s E-Movers of Textile Fabric, weighing 27 tons of value amounting to Rs 38.5 million to private godown and then replacement of Textile Fabric with Pak Origin RIO Fertilizer (Urea) was made by illegally cutting Customs’ seal.

M/s E-Movers stated that they were a separate legal entity and working as Customs Agent M/s E-Movers were a sole proprietor company, owned by Mansoor Ahmed Shaikh while M/s e-Movers (Pvt) Ltd. were Customs Bonded License holder having different Directors and different business & mailing addresses owned by Mr. Muhammad Isa Afridi and Mr. Aziz Ullah Khan Afridi. They further maintained that they had neither filed Goods Declaration for transit nor they had any connection with the transit goods and bonded carrier i.e. M/s e-Movers (Pvt) Ltd.

Directorate of Transit Trade, Quetta submitted that the bonded vehicle was found involved in the replacement/pilferage of goods in transit enroute (Textile Fabric) imported and smuggling of Pak Origin Fuji Fertilizer Urea.

A seizure case was registered against bonded carrier M/s E-Movers accordingly. After lodging of FIR and framing seizure case against M/s E-Movers on the basis of record in WeBOC system, the respondent M/s E-Movers attempted to create a smoke screen before the adjudicating authority by hiding behind identical name of M/s e-Movers (Pvt) Ltd.

On perusal of the record made available by the Directorate General of Transit Trade, it transpired that the vehicle involved in this case was registered against NTN of M/s E-Movers but used as bonded carrier by M/s e-Movers Pvt Ltd.

Directorate of Transit Trade, Quetta also confirmed M/ E-Movers fraudulently obtained a login ID in WeBOC system pertaining to M/s e-Movers (Pvt) Ltd instead of their own NTN. This is sufficient proof to establish that both companies, M/s E-Movers and M/s e-Movers (Pvt) Ltd operate in unison to deprive the Government of its legitimate revenue through pilfering transit goods enroute and facilitate smuggling.

Directorate of Transit Trade, Quetta further stated that the DG Office, Karachi provided the record of M/s E-Movers only and five FIRs had been lodged against M/s E-Movers by the Directorate of Transit Trade Office, Quetta, MCC Quetta, MCC (Preventive) Karachi & MCC Peshawar.

The seizing agency placed on record evidences in respect of E-Movers and e-Movers (Pvt) Ltd. showing that the both companies are one and the same. They have been found using similar addresses/offices, similar fax numbers and similar landline numbers.

All previous FIRs initiated against them revealed that they were found involved in replacement/pilferage of goods in transit enroute and smuggling of contraband goods through fittings and cavities built purposely in the bonded vehicles for smuggling.

In view of the foregoing, it is proved that M/s E-Movers and M/s e-Movers (Pvt) Ltd are one and the same entity and equally involved in criminal activity.

They create smoke screen by hiding behind identical names/titles and create confusion. The seizing agency placed on record concrete evidences against them while the respondents failed to prove their bona fide status.

Therefore, the charges levelled in the show cause notice are established. Accordingly, entire goods and vehicle along with container seized in this case are confiscated outright in favour of the state. A penalty of Rs10 million is imposed on each M/s E-Movers and M/s e-Movers (Pvt) Ltd. A personal penalty of Rs5.0 million each is also imposed on Mansoor Ahmed Shaikh, Azizullah Khan Afridi and Muhammad Isa Afridi, Mushtaq Ahmed Shaikh and driver Zahir.

Customs Adjudication has advised Transit Trade Karachi to take appropriate action against the delinquents by initiating in-depth probe on the following aspects:

· Suspension/revoking of Bonded Carrier License along with Customs House Agent License issued to M/s E-Movers and M/s e-Movers (Pvt) Ltd as required under law.

· To initiate legal action as per law against M/s TPL Trakker (Pvt) Ltd who failed to ensure security of bonded goods in transit.

· To investigate as to how and why the Bank Guarantees/ Insurance Guarantees furnished by M/s e-Movers (Pvt) Ltd were accepted/extended despite the fact that their criminal acts were appearing on the record of licensing authority. The said companies were found involved in replacement/pilferage of goods in transit enroute and smuggling of contraband goods.

· To conduct periodical inspection on regular basis of all registered bonded vehicles to obviate chance of any concealment of smuggled contraband goods in false cavities/fittings under the garb of transit goods.

· To investigate as to whether bonded carrier licenses to M/s E-Movers and M/s e-Movers (Pvt) Ltd were issued after fulfillment of all codal formalities and requirements.

· To investigate as to how “identical titles” were issued to distinct legal entities with similar address, similar fax numbers, and similar landline numbers in disregard to the legal framework of intellectual property rights or copy rights etc.

· To direct the licensing authority to amend the names/titles of all such bonded carriers to avoid companies from exploiting the confusion arising out of identical names/titles.

· To investigate as to how the name of Azizullah Khan Afridi was replaced with Mansoor Ahmed Shaikh as Director of M/s e-Movers Pvt Ltd when FIR had already been lodged on account of replacement and pilferage of goods in transit enroute in utter disregard to the Companies Act, 2017.