ISLAMABAD: The Federal Board of Revenue (FBR) has dismissed an Inland Revenue officer for failing to conduct a thorough investigation into a massive sales tax fraud case worth Rs238.421 billion.
The FBR issued a notification on Monday stating that Altaf Hussain Khurho, a Senior Auditor at the Regional Tax Office-I in Karachi, was found negligent in handling the case involving M/s New Metro Footwear Co., Karachi, and 12 other co-accused.
According to the notification, the case (FIR No.01 of 2024) was registered on March 26, 2024, by the Regional Tax Office after an intelligence report from the Prime Minister’s Office highlighted serious flaws in the investigation.
A disciplinary inquiry was launched against Khurho under the Civil Servants (Efficiency and Discipline) Rules, 2020. Following the inquiry, FBR appointed Aftab Alam, Director General of International Taxes Operations, as the inquiry officer. His report, submitted on July 17, 2025, concluded that Khurho had failed to perform his duties efficiently, resulting in the charge of “inefficiency.”
The inquiry recommended a minor penalty of withholding promotion for one year. However, the case escalated when further investigation revealed that Khurho had been negligent in handling key aspects of the case.
The departmental representative confirmed that six beneficiaries had received fraudulent claims totalling Rs197.27 million, of which Rs117.41 million had been recovered, with Rs79.86 million still outstanding. Despite his claims of limited responsibility, Khurho was held accountable for the lack of a proper investigation and for failing to take necessary actions.
