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Home Breaking News

PTCL, Huawei Tech, clearing agent penalized for mis-declaration

bySohail Rab
01/05/2014
in Breaking News, Karachi, Latest News, Slider News
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KARACHI: The Collectorate of Customs (Adjudication-I) on Wednesday issued Order-in-Original (ONO) against M/s Pakistan Telecommunication Limited (PTCL), NTN 801599; its clearing agent M/s Eastern Freighter Services (CHAL No. 2442) and its contractor M/s Huawei Technologies in connection with mis-declaration/concealment in import values and quantity in GD and fiscal fraud in clearance of telecommunication equipment to evade Customs Duty (CD) and other taxes.

According to the details, M/s PTCL with the help of clearing agent M/s Eastern Freighter Services and its local contractor M/s Huawei Technologies imported telecommunication equipment which actual invoices valued Rs1,009,417,370 and evaded leviable duty/taxes amounting Rs441,650,943 in share of Customs Duty of Rs1,69,707,994; Rs181,240430 in share of Sales Tax; Rs10,094,174 in share of SED and Rs80,608,345 in share of Withholding Tax (WHT).

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In the final judgment, the Collector Syed Shahanshah Hasnain of the Customs (Adjudication-I) stated that “the respondents shall deposit the aforesaid recoverable amount of duty and taxes in which a personal penalty of Rs100 million upon M/s Pakistan Telecommunication Limited (PTCL) and a personal penalty of Rs10 million has been imposed on M/s Huawei Technologies, which shall be deposited by them to national exchequer”.

“I also hereby impose a personnel penalty of Rs5million on clearing agent, i.e. M/s Eastern Freighter, who acted in connivance and collusion with M/s Pakistan Telecommunication Limited in order to deprive the government by its legitimate revenue”.

It is pertinent to mention here that the case was instituted by the Directorate General of Customs Intelligence and Investigation, Regional Office on 27 November, 2013 and the recent hearing of the case was conducted on 29 April, 2014 and the final judgment in type of ONO was issued by Collectorate of Customs (Adjudication-I) on 30 April, 2014.

Tags: AdjudicationHuaweiPTCLShahanshah

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