Stoppage of containers to Afghanistan: don't misinterpret Isaf scam report, FTO tells FBR

The Office of the Federal Tax Ombudsman (FTO) has conveyed to FBR Chairman Salman Seddique that the normal transit trade with Afghanistan may not be disrupted on imaginary grounds by misinterpreting the FTO report on the Isaf Containers scam.
This has been mentioned in a letter, written by the FTO Office to the FBR Chairman, which was distributed during the press conference of Federal Tax Ombudsman (FTO) Dr Shoaib Suddle on annual performance of the FTO Office here on Tuesday.
The issue came to light when this scribe asked a question about stoppage of transit containers to Afghanistan by Model Customs Collectorate Quetta, as these containers have arrived Chaman Customs Station in violation of the time determined by the FTO. The MCC Quetta had stopped clearance of containers, which reached Chaman in 3-4 days from Karachi.
Responding to the query, Dr Shoaib Suddle said the issue raised by the Collector MCC Quetta has been duly addressed by the FTO Office and a letter has been sent to the tax authorities. The FTO would monitor the cases where the containers would register their re-entry into the port station in less than eight days period.
According to the FTO letter to the FBR Chairman, referring to the letter from Collector, Model Customs Collectorate, Custom House, Quetta and to state that what the Collector of Customs has stated only confirms that while containers do arrive at Chaman within 3-4 days of their departure from Karachi, extra days are taken to complete clearance formalities, before they are ready to start the return journey. If relevant documents of containers that left Karachi on January 22, 2011 were still awaited on 29th January 2011, how could they possibly complete their round trip in less than eight days.
It is indeed strange that the Collector of Customs, Quetta is finding it so hard to comprehend the straightforward findings of the Office of Federal Tax Ombudsman in its "Report on ISAF Container Scam". What the report says is that a container takes more than eight days to complete its round trip from Karachi to Chaman or Torkham, as the case may be. It is obvious that the 8-day duration includes the time taken to complete relevant formalities at the border customs stations. Any suggestion otherwise would mean that customs formalities including receipt of duplicate and triplicate copies of ATTI by post and de-stuffing of cargo taking at least a couple of extra days would be compromised, FTO letter said.
In view of the evidence that the Collector has enclosed with his letter dated January 29, 2011, the findings of the Office of the Federal Tax Ombudsman are further corroborated, rather than negated in any manner whatsoever. Out of the 26 containers included in the list, none is yet ready to start their return journey as relevant document in all but one are still awaited, after 7-8 days of their leaving Karachi. Even if they all had been cleared to return on 29th, how could they possibly re-enter the port after completing the round trip in less than 8 days.
As the Office of the Federal Tax Ombudsman has no issue with the data provided by the Collector, we do not feel any need to depute any official to examine the clearance process at Chaman. However, we would certainly like to monitor those cases where the containers would register their re-entry into the port station in less than 8 days, FTO office said.
The FTO letter added that rather than trying to use the FTO Report to shield their maladministration, the customs staff be sensitised that the normal transit trade with Afghanistan may not be disturbed on any imaginary ground or misinterpretation of the FTO's findings. Rather it should be facilitated after ensuring that all legal formalities have been completed expeditiously, FTO letter added.
Earlier, the Collector MCC Quetta had said that Federal Tax Ombudsman in his report vide pages 52-4 & 74-5 has concluded that the containers loaded with Afghan Commercial transit goods can not complete round trip of Karachi-Chaman-Karachi within 8, 9 and 10 days. The FTO has expressed that the doubtful round trip during the said period of even less was impossible which resulted in loss of billions of rupees to the exchequer.