The customs authorities of the Federal Board of Revenue (FBR) are vigorously attempting to evade investigation into a criminal syndicate engaged in the illicit sale of non-customs paid goods in collaboration with certain FBR personnel. This illicit activity has led to significant revenue losses. Despite receiving four notices, no response has been provided regarding the allegations.
In response to a public interest complaint filed by tax lawyer Waheed Shahzad Butt, the Federal Tax Ombudsman (FTO) has instructed the Chairman of FBR to launch an investigation with the assistance of the Federal Investigation Agency (FIA) and other relevant agencies, and to submit a comprehensive report within one month. However, even after two months have passed, the FBR seems unwilling to acknowledge the blatant violation of laws and the rampant tax evasion facilitated by the unrestricted sale of non-customs paid goods.
Muhammad Azhar Siddique, an international human rights activist and constitutional lawyer representing the complainant, has highlighted the alarming collaboration between FBR personnel and certain financial institutions, as well as the use of mobile phone SIM cards in these illicit activities, but to no avail.
Despite receiving notices dated March 25, 2024, April 30, 2024, and May 14, 2024, requesting detailed responses, the FBR has failed to provide any comments, demonstrating clear defiance of the directives from the FTO. Consequently, the department has been given a final opportunity to submit parawise comments by June 14, 2024, and the case has been scheduled for a hearing on the same date at the Regional Office in Lahore. The FBR is required to assign a designated representative (not below the rank of BS-19) to attend the hearing along with the requisite comments. Failure to comply may result in the complaint being decided ex-parte based on the available evidence.
