Karachi: In a major crackdown on import fraud, Customs Appraisement West has filed a First Information Report (FIR) against M/s Cosmix Engineering and M/s Elegant Enterprises for allegedly grossly mis-declaring the capacities of imported air conditioners. The intent was reportedly to bypass the correct application of Valuation Ruling No.1178/2017, thereby evading substantial duties and taxes.
The case came to light when M/s Cosmix Engineering filed a Goods Declaration for the clearance of consignments that were declared to contain outdoor units of air conditioners of assorted capacities, along with 130 indoor units of similar assortments. To ensure the accuracy of the declared goods and the correctness of the paid duties and taxes, Collector Naveed Ilahi directed an inspection of the declaration. This task was overseen by Additional Collector Nausheen Faisal, who marked the Goods Declaration for thorough examination.
A specialized team, formed under the leadership of Deputy Collector Saima Butt, with Principal Appraiser Rasheed Khan and Appraising Officer Zia ur Rehman, was assigned to the inspection. Upon conducting a physical examination, it became evident that the model numbers on the air conditioners could not be verified through the Original Equipment Manufacturer (OEM) website or any reputable international source, despite the manufacturer’s global prominence. Additionally, the original BTU plates, which confirm the specifications and capacities of the units, were conspicuously missing from the goods.
To corroborate the capacities of the goods, the importer was requested to provide the manufacturer’s catalogue at the examination stage. However, the submitted scanned catalogue raised suspicions as it could not be verified with any OEM or international sources. The catalogue’s authenticity came under scrutiny due to several red flags:
1. Metadata of the Catalogue: The files indicated they were created on November 27, 2024, by a user named Zeeshan using PowerPoint—highly unusual for documentation from a reputable OEM.
2. Missing Critical Technical Information: Essential technical details typically found in genuine OEM datasheets were absent from the submitted catalogues.
3. Questionable Website: The website mentioned in the catalogues, allegedly belonging to Guangzhou Wanhui Trading Co., Ltd, appeared fabricated. Generated using WordPress, it featured incomplete “lorem ipsum” placeholder text. The provided address, “66 Brooklyn Street, NY,” did not align with the standards of a global manufacturer.
4. Domain Age Check: Revealed that the website was created merely 9-10 days prior, further questioning its legitimacy and raising concerns about the goods’ declared specifications and capacities.
Given these discrepancies, technical experts assisted in examining the goods. It was discovered that through gross mis-declaration, the importer, along with the clearing agent and other accomplices, attempted to defraud the national exchequer of Rs. 23,487,321. This deliberate act of mis-declaration constitutes a serious offense.
The FIR has been lodged before the Special Judge for Customs, Taxation, and Anti-Smuggling in Karachi. Efforts are underway to apprehend the accused, and further investigations into the matter are ongoing.