KARACHI: Chaudhry Muhammad Javaid Collector of Customs Adjudication II has directed M/s Sami Pharmaceuticals (Private) Limited Karachi to pay duty and taxes amounting to Rs 14.64 million as the Company evaded through un-due claim of exemption on consignment of aluminum roll-on caps.
The Authority also asked the respondent to pay a penalty of Rs 3 million in the terms of clause (14) of Section 156(1) of the Customs Act 1969. Similarly the Customs Agent Ocean Aid International Karachi apparently connived with the importer to facilitate its clearance through deliberate mis-declaration has also been imposed a penalty of Rs 500,000.
Sami Pharmaceuticals imported and cleared aluminum caps under PCT heading 8309.9000 chargeable to Customs Duty at 25 percent through misuse of SRO 567(I)/2006 attracting 5 percent Customs duty.
The order said the respondent has grossly misused the Serial number 31 and 32 of Category D of said SRO to its benefit.
It was evident that in the pharmaceutical field both the caps and lids were used distinctly for special purpose and in no way these were one and the same thing.
Moreover the Customs Adjudication II noted that how the assessing officers of the clearance Collectorate failed to distinguish between closing lids and caps to be used as pharmaceutical packing material in the presence of huge literature on this account. The Directorate Intelligence and Investigation was also directed to ensure that Assessment Alert was issued to all the clearance Collectorate in the country on this account so that no such inadmissible concession was allowed to anyone who was not entitled for it.