KARCHI: The Directorate of Internal Audit-Inland Revenue-FBR Karachi has nominated eight directors of various companies on charges of tax fraud with the Government of Pakistan in the Tamna case. The directors are accused of being the main beneficiaries of a fake and fraudulent unit/firm that existed only on paper and evaded sales tax worth over Rs. 1.2 billion.
The Tamna case involves a fake firm named Tamna Industries, which obtained registration with FBR by fraudulent means and did not conduct any genuine physical operations. The firm was involved in issuing fake invoices and claiming input tax adjustments without paying any output tax. The firm was also involved in money laundering and facilitating other tax evaders.
An FIR with no 01/2022 dated 14.06-2022 was lodged at the Directorate of Internal Audit-Inland Revenue-Karachi against Tamna Industries under section 2(37) of the Sales Tax Act 1990. The FIR initially involved government revenue of approximately Rs. 1,202,744,754, plus default surcharge/penalty to be determined at the time of payment.
A fresh challan in the Customs Court Karachi has been submitted today on 31-07-2023, nominating the directors of the following eight companies as co-accused in the Tamna case:
- Force Batteries (Pvt) Ltd, director Charagah Shah
- Data Engineering (Pvt) Ltd, director Ahad Memon
- Millat Industrial Products Ltd, director Sikandar Mustafa Khan
- Rainbow High Tech Engineering Company (Pvt) Ltd, director Muhammad Asif Memon
- Raaziq Industrial Enterprises (Pvt) Ltd, director Muhammad Nadeem Khan
- Rie Metals (Pvt) Ltd, director Muhammad Mikail Khan
- Total Power Industries (Pvt) Ltd, director Muhammad Idris
- Berlin Petroleum (Pvt) Ltd, director Waqar Ahmed Khan
The directors are alleged to have received fake invoices from Tamna Industries and claimed input tax adjustments without paying any output tax. They are also alleged to have laundered money through Tamna Industries and facilitated other tax evaders.
The FBR is determined to bring the culprits to justice and recover the evaded tax from them. The FBR has also warned other tax evaders to voluntarily declare their liabilities and pay their due taxes, otherwise they will face legal action.