KARACHI: The Customs Collectorate SAPT Karachi has exposed a massive duty evasion scam involving the import of submersible motors from China. The importer, M/s. Shahid Sons, has been booked for submitting fake and fabricated invoices to understate the value of the imported goods and evade duty and taxes worth Rs. 10,113,260/-.

According to the FIR lodged by the Collectorate, the importer declared the value of 204 units of water submersible motors as US$ 31,608/- in the Goods Declaration and the electronic invoice, whereas the actual value of the goods as per the export invoice and the China Customs Goods Declaration was US$ 124,212/-. The goods were assessed as per the Valuation Ruling 990 and allowed release on the basis of self-declaration and self-submitted documents.

However, the Collectorate received credible information that the importer had grossly suppressed and mis-declared the actual value of the goods and submitted manipulated/fabricated invoice reflecting lower value. The Collectorate then sought the record and export documents from the concerned shipping agency and the terminal operator, which confirmed the discrepancy in the value of the goods.

The Collectorate has initiated legal action against the importer and the clearing agent for evading duty and taxes and causing loss to the national exchequer. The value of the offending goods is worked out as Rs. 35,636,422/-, which is recoverable from the importer along with penalties and fines. The Collectorate has also launched further investigations to unearth any other modus operandi of evasion of duty on import of submersible motors.