KARACHI: Model Customs Collectorate of Port Muhammad Bin Qasim has detected a case of mis-declaration against the importer M/s A F Steel Re-rolling Mills.
MCC Port Qasim has found an imported consignment declared to be ‘re-roll able semi finished cobble coils’ in the import documents as well as Goods Declaration (GD) vide IGM No.143, Index No. 108 and filed into Bonding GD vide machine No. KPPI-IB-45247-14-04-2014 under Pakistan Customs Tariff (PCT) heading 7208.3690.
Afterwards, the goods were examined under first examination system for verification of description/PCT/quantity/weight under Red category and the shed staff during physical examination, found that the goods were Hot rolled steel sheets in coils of secondary quality, classifiable under PCT code 7208.3610 levying customs duty at 20 per cent instead of declared re-roll able semi finished cobble coils, PCT code 7208.3690 with leviable customs duty at 10 per cent.
According to MCC Port Qasim, the goods have been found mis-declared by the importer, therefore, the importer and clearing agent have wilfully and deliberately mis-declared the description/PCT code to evade duties/taxes. The value of goods was calculated to be Rs 9,291,534 and the government would have had to suffer a loss of revenue amounting Rs 6,498,504 in share of duties/taxes.
The Collectorate stated that this act of the importer constitutes an offence within the meanings of Section 32(1) of the Customs Act, 1969 read with Section 3(1) of the Import & Export (Control) Act, 1950. The offence is punishable under Clause (14) of the Section 156(1) of the Customs Act, 1969 read with the Section 3(3) of the Import and Export (Control) Act, 1950 and SRO499(1)/2009 as amended vide SRO794(1)/2011.
The Contravention Report made by MCC Port Qasim stated that M/s A F Steel Re-rolling Mills has committed offence and thus contravened the provisions referred to above, therefore, in the light of above reported facts, M/s A F Steel Re-rolling Mills has been issued show-cause notice as to why the amount of customs duty and taxes may not be recovered and penal action warranted under the aforementioned provisions of law may not be taken against it.
In due course, the Customs Collectorate of Adjudication-I has also issued show-cause notice against the importer.
