Container scam: FBR finalises list of 34 customs officials

The Federal Board of Revenue (FBR) on late Wednesday night finalised names of 34 customs officials, who were holding positions from January 1, 2007 to December 24, 2010, during which a large number of containers carrying goods in the name of ISAF forces operating in Afghanistan were allegedly pilfered inside the country.
Sources told Business Recorder that the FBR remained busy in finalisation of the names of the customs officials, who remained posted during the said period and finalised the list late night. The FBR has compiled the list on the directive of the Supreme Court. It has been reliably confirmed that the list contains names of 34 officers of customs holding different positions during this period. The FBR is expected to present the list of these officers before the Supreme Court of Pakistan.
The FBR would provide list of all officials, including name of former FBR Chairman, who was holding the position from January 1, 2007 to December 24, 2010, FBR Member Customs, Collectors Karachi Port and Port of Qasim, Collectors of Customs Quetta and Peshawar and other officials who were holding the charge during that period to the court.
Meanwhile, Federal Tax Ombudsman (FTO) has recommended federal government to split the FBR into two Boards, one dealing exclusively with Customs matters including elimination of smuggling and the other dealing with taxes like income tax, sales tax and federal excise duty. It has further suggested that if split of FBR into two boards is not found appropriate at this stage, a competent and honest senior officer of Pakistan Customs Service may be appointed as deputy chairman FBR. The measure will provide better focus on matters relating to management of Customs.
In his report on the 'Missing Container Scam,' the FTO recommended customs clearance and cross border certification and reconciliation procedures need massive improvement, consolidation and rationalisation. It has recommended that cross checks need to be upgraded, diversified and externalised, transport system used for ATT needs to be organised on competitive basis, and transporters to be given a level-playing field.
Only bonded carriers should be allowed to transport ATT cargo, the vehicle fleet used for the purpose must be upgraded in terms of technology input for safe transportation of transit cargo. Security of cargo needs immediate enhancement through RFID seals, and live monitoring through GPS, ATT cargo should bear bar code embedding for ease of detection, and to minimise the chances of its smuggling back into Pakistan.
ISAF/UN/Nato should adopt the same technology and transport precautions as are being used by US Forces (eg RFID seals and effective tracking/monitoring through GPS). Collusion and corruption of Customs officials be effectively discouraged and deterred in a sustainable manner.
A specialised and dedicated Collectorate needs to be created to deal exclusively with the entire cargo in transit to Afghanistan, the definition of smuggling should be broadened to include in its purview any en-route pilferages of transit goods. The Directorate General (Intelligence and Investigation) needs to be suitably upgraded to act as an effective deterrent against actual and potential tax evaders and their accomplices within the Customs Department, FTO report added.