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FBR internal audit wing unearths scam of illegal allocation, utilization of property

FBR internal audit wing unearths scam of illegal allocation, utilization of property

ISLAMABAD: Internal audit wing of Federal Board of Revenue has unearthed a scam of illegal allocation and utilization of property of the federal government for personal and operational purposes by the Customs collectorates and directorate of Intelligence and Investigation. Federal Board of Revenue has recommended strict action against the responsible staff.

According to report Customs Collectorates of Preventive Lahore, Islamabad, Faisalabad, Peshawar, Directorates General Intelligence and Investigation Karachi, Lahore and Faisalabad under Federal Board of Revenue utilized 58 non duty paid confiscated vehicles for operational purposes instead of disposing the same through auction. Further Directorate I&I Karachi also put 02 lots of goods late for auction without any reason. Out of these 58 vehicles, 26 vehicles were auctioned after considerable time ranging from one to five years and 32 vehicles were still under operational use. In one case the complaints of missing accessories and parts were also registered by the customs staff as well as bidders.

Non delayed disposal had cost to government Rs 20.350 million approximately in shape of depreciation. Federal Board of Revenue has directed to the concerned Customs heads to put on auction after fulfilling their legal requirements. It is important to mention here that according to section 182 of the customs act, 1969 read with sections 169 and 201 of the ibid, Customs General Order (CGO 12) dated 15 June 2002 and Rule 58 of the Customs Rules 2001, goods confiscated under this act shall hold by federal government and shall be delivered to customs authority immediately which will keep it in state warehouse with due care. When these goods reached the stage of being sold, the custodian of these goods shall bring into the notice of the concerned deputy collector or assistant collector.

The collector shall pass the orders to sale these goods through public auction by determining their value in accordance with provisions of section 25 of the act. Further, Federal Board of Revenue Vide C.No. 9(1) 2014-CB dated 28 October 2015 directed the field formations that no auction-able vehicle should be used by the Collectorates and the Collectorates should use only tampered vehicles.