Illegal auction for imported goods: FBR directed to initiate disciplinary proceedings

ISLAMABAD: The Federal Tax Ombudsman (FTO) has directed the Federal Board of Revenue (FBR) to initiate disciplinary proceedings against the Customs officials of Collectorate of Customs (Appraisement East) Custom House Karachi involved in the illegal auction of imported goods.

In this regard, the FTO has issued an order here on Thursday to investigate whether the bidders were actually forcefully pushed out of the auction halls evident from the cameras installed in the halls.

The order is a classic example that how auction rules are still openly violated with no monitoring or supervision of the FBR’s headquarters. According to the FTO order, it is observed that the auction proceedings are dubious, not transparent and not in keeping with the rules and procedures as mentioned in Auction Rules, 2001.

The auction proceedings raise suspicions and have not been carried out in a just manner. Therefore, the Collector should refund the earnest money of 25 percent to Shabbir Trading Company and assure that the subject goods would be put to auction in the presence of all three complainants.

Three complaints were filed against the Collector of Customs (Appraisement East) Custom House Karachi for conducting illegal auctions of the 13 containers of photocopy papers from Indonesia.

The FTO has directed the FBR to direct the Chief Collector, Collectorate of Customs (Appraisement-East), Custom House Karachi to look into the matter personally and take disciplinary action against the officers/officials responsible for irregularities committed in conducting the subject auction and also take strict action against the officers who misrepresented the case before the Collectors.

Copyright Business Recorder, 2023