MULTAN: In a recently concluded investigation conducted by Multan Dry Port reveaked that certain importers and customs agents have been bypassing standard procedures for filing Goods Declarations (GDs) by exploiting vulnerabilities in the WeBOC system. This manipulation has allowed them to file GDs without the mandatory Electronic Import Form (EIF) or proper authorization from banks or Authorized Dealers (ADs) for open account transactions.
The Electronic Data Interchange (EDI) relayed by Authorized Dealers to the Pakistan Single Window (PSW) has confirmed that M/s. Al-Barka Steel Furnace (NTN No. 7489542), allegedly in collusion with their clearing agents, improperly accessed the open account facility by fraudulently manipulating the WeBOC and PSW systems. Such actions are in violation of regulations set forth by the State Bank of Pakistan (SBP), specifically Chapter 13 of the SBP Foreign Exchange Manual, the Import Policy Order 2022, and various provisions of the Customs Act, 1969.
Collector of Customs Appeal, has thoroughly examined the case, engaging in lengthy hearings with both parties. The allegations against the Clearance Collectorate suggest serious misconduct, raising concerns that the PSW system may have been compromised. If these allegations are proven, they could undermine the integrity of the entire WeBOC system.
The appellants have argued that the adjudication was conducted by an officer without the requisite jurisdiction under the Customs Act, rendering the proceedings invalid. They maintain that Section 179 of the Customs Act does not empower an Assistant Collector of Customs to adjudicate violations of Sections 15 and 16, and have requested that the impugned Orders-in-Original and Show Cause Notices be annulled for a new adjudication by a competent authority.
Furthermore, the appellants highlighted that, according to Section 179(3) of the Customs Act, cases involving goods at the port should be resolved within thirty days. In this instance, the adjudication process took 49 days, despite the Collector’s ability to grant extensions for valid reasons.
As a result, the case has been remanded back to the Clearance Collectorate under Section 195 of the Customs Act, with directives to address the issue with the seriousness it warrants and to initiate fresh adjudication proceedings by a qualified official. Authorities have also been instructed to prioritize addressing the lapses within the PSW system to prevent future occurrences.
