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Home Karachi

ONO against Emrac Engineering, clearing agent Kaikobad issued

bySohail Rab
04/12/2014
in Karachi, Slider News
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KARACHI: Additional Collector of the Collectorate of Customs Adjudication-II, Sami-ul-Haq has issued Order-in-Original (ONO) against importer M/s Emrac Engineering and clearing agent M/s Kaikobad P Kakalia in their alleged involvement in tax evasion through mis-declaration of quantity and weight in import of cool chain machinery and equipment including (Sandwich Panels).

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According to details, the importer electronically filed a Goods Declaration (GD) bearing GD No KAPE-HC-50425-07-11-2014 through their clearing agent namely M/s Kaikobad P Kakalia.

The importer determined their liability of payment of applicable duty/taxes and sought clearance under Section 79(1) of the Custom Act, 1969. In order to check as to whether the importer had correctly paid legitimate amount of duty/taxes, the GD was selected for scrutiny in terms of Section 80 of the Custom Act, 1969.

Scrutiny of the Goods Declaration in the light of examination report revealed that net weight of goods 16035Kilogram have found to be excess and importer has mis-declared quantity of goods to avoid duty/taxes. The offending value of goods is calculated to Rs3,363,062 and total loss of revenue involved is Rs1,850,526.

The authorities concerned of the MCC-Appraisement (East) in their contravention report stated that the importer has violated Sections 32(1), 32(2), 79(1) of the Custom Act, 1969; Sections 2(37) and 6 of the Sales Tax Act, 1990 and Section 148 of the Income Tax Ordinance, 2001 and thus punishable under sub-clause 14,45 of Section 156(1) and Clause 11(C) of the Section33.

In the verdict given by the Additional Collector, Sami-ul-Haq stated that the charges against the importer and clearing agent are established, as the offending goods are confiscated under Clause 14 and 45 of Section 156(1) of the Customs Act, 1969 for violation of provisions of Sections 32(1), 32(2) and 79(1)ibid. However; an option is given to the importer to redeem the offending goods under Section 181 of Customs Act, 1969 on payment of fine equal to 20per cent of the offending value which is calculated as Rs672,612 (ascertained value of fine equal of the goods Rs3363,062) in addition to leviable duty and taxes thereon.

A penalty of Rs150,000 is also imposed on the importer under clause 14 of Section 156(1) of the Customs Act, 1969.

 

Tags: 062 and total loss363clearing agent Kaikobad issuedGoods Declaration in the light of examination report revealedoffending value of goods is calculated to Rs3ONO against Emrac Engineering

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