KARACHI: A Joint Investigation Team (JIT) has finalized its report with regard to the smuggling of kerosene oil (HS code 2710.1911) in garb of white spirit (HS code 2710.1240).
Sources informed Customs Today that the report will be submitted to the Ministry of Commerce and the FBR chairman since the Directorate of Intelligence and Investigation -FBR (Customs Enforcement), Karachi had unearthed the huge scam.
The investigation team, consisted of one member each from the Customs Intelligence Karachi, Lahore and Islamabad along with one member from Customs Preventive, was authorized to look into the matter. At least 10 companies were involved in the multi-billion scam which was committed in cahoots with some private laboratories and customs officials.
According to the sources, the findings revealed that the importers were getting consignments cleared in connivance with private laboratories, whereas, the government through the Ministry of Petroleum has notified testing of petroleum products through labs of Hydrocarbon Development Institute of Pakistan.
In contrast violation of rules made by the Government of Pakistan, the samples of these petroleum products were being tested through unauthorized labs and reportedly sanctity of samples was compromised too.
The Collectorate Customs Preventive issued a standing Order No. 8/88-P dated 04.06.1988 whereby rules and procedures for sampling and testing of petroleum products have been devised, however, staff of MCC Preventive was itself found violating the provisions of said Standing Order.
The findings further revealed that as per Serial 2 of Appendix B (Part-II) of Import Policy Order, only oil marketing companies are authorized to import kerosine oil. Two more importers namely M/s FARAS Combine Marketing Company, and M/s FRIENDS Petrochemical Industries, Lahore were found indulged in smuggling of Kerosene oil in garb of White spirit for last two years.
It is pertinent to mention that two FIRs were registered by the Directorate of Intelligence and Investigation Karachi in the month of June of current year the second FIR was registered against three companies when Directorate General of intelligence and Investigation Islamabad provided a tip off, in pursuit thereof of Ms. Samina Tasleem Zehra, Director I&I Custom Enforcement, karachi, assigned the task to Syed Ali Zaman Gardezi, the Additional Director and Shah Faisal Sahu, Deputy Director for proper investigation.
Samples were drawn for testing from Hydrocarbon Development Institute of Pakistan as per set rules and procedures of Ministry of Petroleum and they confirmed the samples as Kerosene oil instead of White Spirit. FIRs have been lodged and efforts are being made to arrest the delinquents.
Three importers namely SMD Sons Pvt ltd, Karachi, M A Corporation, Lahore and Power Industries, Karachi were indulged in smuggling of Kerosene oil in garb of White spirit for last two years.
Earlier first FIR was registered in the month of June when the Directorate General of Intelligence and Investigation, Islamabad provided a tip and in pursuit thereof of Ms. Samina Tasleem Zehra, Director Customs I&I Enforcement, Karachi, assigned the task to the Additional Director and Shah Faisal Sahu, Deputy Director for proper investigation.
Information was found correct and consignments were accordingly detained, samples were drawn for testing from Hydrocarbon Development Institute of Pakistan and they confirmed the samples as Kerosene oil instead of white spirit.
