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pAkIStAN’S fIRSt INDepth NewSpApeR oN cuStoMS

Daily

Vol 1 Issue No. 181

Karachi, Tue September 15, 2015

MULTAN

IMRAN ALI

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he Federal Board of Revenue (FBR) has introduced a new system of imports and exports of goods through” Border Customs Stations”. Sources told Customs Today the that FBR recently issued notification under SRO 840/2015 (I) Rules, governing imports and exports at Border Customs Stations. The Model of Customs Collectorate Multan also

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received the notification regarding new procedure for the clearance of export and import consignments through Border Customs Stations.According to a notification from Federal Board of Revenue, entrance of import goods into Pakistan will be done with this process. On arrival of import goods the gate-in officer will obtain the documents relating to cargo and will enter the data of the vehicle number, consignment number, name and address of the importer against the system generated Conveyance Intimation Report (CIR) number through the passage from the personin-charge.

‘Around 800 Transit Trade containers stuck at Afghan border’

Faisalabad Customs collects Rs 415 million as taxes in August

Private sector asked to create employment for talented youth

Customs submits challan against suspect involved in sale of smuggled

Pakistan needs to improve image in world markets to attract

While FBR Chairman Tariq Bajwa seems committed to halting smuggling | See pAge 02 |

The Model Customs Collectorate Faisalabad has collected Rs 415.09m | See pAge 03 |

Dr Aisha Ghaus has urged the private sector to generate more jobs | See pAge 04 |

Syed Mirajuddin, investigation oﬃcer of the Pakistan Customs | See pAge 12 |

In order to encourage the US business community to enhance trade ties. | See pAge 09 |

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Excise starts campaign against school vans Tuesday, September 15, 2015

National

ISLAMABAD: Excise and Taxation (ET) department Rawalpindi started campaign against 3,000 school vans to bring them in to tax net. These vans are usually use for pick and drop service to school children in the district. According to sources over 3,000 school vans are being used for pick and drop service, none of these have rout permit or ﬁtness certiﬁcate. Excise and Taxation department decides to bring them in to tax net, because they are evading huge amount in terms of tax. On the other hand they are charging heavy fees from parents.

800 transit trade containers stuck at Afghan border: Zahid khokhar

tribunal orders seizing agency to release impounded oil tanker LAHORE

MuhAMMAD NAwAZ

KARACHI

AftAB chANNA

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hile Federal Board of Revenue (FBR) Chairman Tariq Bajwa seems committed to halting smuggling, more than 700 containers of Transit Trade cargo have been stuck on the Afghan border. “This all has happened with the commitment and dedication of the law enforcement agencies, including FC, Balochistan Police, Army and the Pakistan Customs particularly deputed at the Pakistan’s borders”, Chief Collector Enforcement-South Zahid Khokhar told Customs Today in an exclusive interview at his office on Friday. Informing about his recent visit to Balochistan’s Gwadar and Quetta collectorates, the chief collector said that he had held separate meetings with Inspector General Frontier Corps General Sher Afghan and IG Balochistan Muhammad Amlish. In the meeting, it was resolved that smugglers would never be allowed to even walk freely in Pakistan. The efforts of the Customs officials in Balochistan were laudable as the collectorates and intelligence were seizing huge quantities of goods on daily basis, giving a strong message that smuggling would never be acceptable to Pakistan Customs at any cost, Zahid Khokhar

he Customs Appellate Tribunal has ordered the Customs Investigation and Intelligence Sadiqbad to release the impounded oil tanker of M/S Al Hajj Enterprises on the payment of Rs 25,000 as fine. As per details, the senior Intelligence officer of Field Investigation Unit (FIU) Sadiqabad was reported that some illegal elements were indulged in illegal removal of oil meant for ISAF at Afghanistan from premises of M/S Shell Pakistan Kemeri Karachi. The staff of Intelligence during surveillance intercepted oil tanker No LSB-176 loaded with smuggled oil on September 10, 2011 and asked the drive to produce legal document regarding import of oil but he fail to produce any legal document on which the official impounded the oil tanker under Rules 560, 561 and 562 of Customs Act, 2001. After sometime, a person named as Muhammad Tahir appeared before the seizing agency and claimed for the ownership of oil tanker where Customs Adjudication ordered to impound the tanker as it was being used for the transportation of the smuggled oil.

added. “The clearing agents had approached me requesting that these hundreds containers loaded with electronic items, tea, spare parts, clothes etc be allowed to enter Pakistan territories. And, in return, they

are ready to pay the custom duties/taxes,” he said. However, their request was turned down on the spot and it was made crystal clear that these goods would not be allowed entry into the country at any

cost,” the chief collector said. The chief collector stated that IG FC and IG Balochistan Police assured that Pakistan Customs would receive all out assistance and support to take action against smugglers.

Investigation begins against 50 non-filer FBR oﬃcials of Gujranwala SIALKOT

ZAfAR MALIk

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The intelligence agencies have started the scrutiny of all the assets of as many as 50 the senior and junior officials of the Federal Board of Revenue (FBR) belonging to Gujranwala division following the

mounting complaints of the corruption, embezzlement, malpractice and fraud against them. As per details, the allegations of making moveable and unmovable assets and properties through the unfair means were established against them in the various complaints, sources said. According to the senior officials of the intelligence agencies, as many as 50 officials of FBR from Gujranwala Division had not yet declared assets before

the FBR, due to which the FBR (Headquarters) Islamabad has stopped their allowances, in this regard. The officials confirmed saying “yes, the intelligence and secret agencies were scrutinizing the assets of above-mentioned 50 corrupt senior officials of FBR in Gujranwala Division, in this regard”. They added that the corrupt FBR officials would be brought to task, saying that now it was the

time to nab the corrupt FBR officials through a stern accountability as well. They said that the FBR had pointed that as many as 800 FBR senior and junior officials across the country had not yet declared assets to FBR despite the end of the fiscal year 2014-15, out of which 50 senior FBR officials (including appraisers, superintendents, examiners and inspectors) belong to Gujranwala Division. According to the FBR Rules

and Regulations, all the FBR officials had to declare their assets till the June 30 at the end of every fiscal year, but more than 800 senior and junior FBR officials were still reluctant to declare their assets despite the repeated issuance of the notices, in this regard. “Now, the FBR has closed their all the internal job allowances for the next three months as a punishment by the FBR (HQs)”, the local FBR officials added.

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FBR to issue notices to tax defaulters from September 15 KARACHI: Federal Board of Revenue (FBR) decided to send notices to over 1,30,000 tax defaulters of 2013-14, from September 15,2015. According to the sources the above said defaulters are registered taxpayers but they avoiding to submit their tax returns of the year 2013-14. All regional tax offices already completed lists of defaulters. The notices are being prepared in accordance with income tax ordinance 114, and they will be given a grace period of 45 days to submit their tax returns, otherwise FBR will take stern action against these defaulters. The regional tax offices will also confirm the actual income of taxpayers during the grace period of 45 days.

customs releases consignment of cloth after receiving evaded tax HYDERABAD

ASLAM QuReShI

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he Model Customs Collectorate Hyderabad has released a confiscated consignment of silk cloth along with truck after receiving the leviable duty/taxes amounting to Rs 626,000. As per details, the MCC Hyderabad had confiscated the consignment after finding it non-duty paid in August 2015 and now, it has been released after receiving the taxes. On the other hand, MCC Hyderabad state warehouse and Sukkur division will organise auction of confiscated items on September 12 (today). Foreign origin tyres, cigarettes, juice, cell phone, blankets and other items will be presented for open bid under the supervision.

AcA, ffA threaten to go on strike on 8pc turnover tax issue KARACHI

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he members of the Air Cargo Association (ACA) and Freight Forwarders Association (FFA) have decided to observe strike after Federal finance Ministry failed to take measures against the 8 percent turnover tax. As per details, the Finance Ministry had taken a week till September 11 to make decision on turnover tax but it has now invited five committee members of both associations to Islamabad on September 16 to present their point of view on turnover tax before a special committee. Sources told Customs today that the government is not showing any interest to resolve this issue has it has let the decision pending till September 16. the sources added that the agents are not able to pay 8 percent tax because they are providing services on just 2 percent margin.

Tuesday September 15, 2015

National

faisalabad customs collects Rs 415m as taxes in August FAISALABAD

NAeeM SheIkh

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he Model Customs Collectorate Faisalabad has collected Rs 415.09 million under the head of all taxes against the set target of Rs 867.35 million during August of running fiscal year 2015-16. Talking to Customs Today, Collector MCC Faisalabad Tauseef Ahmad Qureshi said that various strategies were being designed to curb the smuggling in the region and meet the assigned target up to 100 percent by the end of fiscal year. MCC Faisalabad has collected Rs 9.256 million under the head of income tax, Rs 358.999 million in wake of sales tax, Rs 46.835 million as customs duty, while it could not collect any tax under the head of federal excise duty. Meanwhile, The Model Customs Collectorate (MCC) Faisalabad AntiSmuggling Organization (ASO) impounded 12 non-duty paid vehicles and other contraband items valued at Rs 24.23 million in August 2015. MCC Faisalabad’s ASO covers different regions including Jhang, Mianwali, Sara-e-Muhajir, Sargodha and Faisalabad where field units are working to curb the smuggling activities in their respective regions. During August, the ASO impounded 12 vehicles worth Rs 7.8 million including, Toyota Corolla,

Toyota Vitz car, Toyota Land Cruiser, Toyota Hilux Surf, Toyota Crown Car, Toyota Hiace Van, Isuzu Truck and others. Besides, ASO team following the directions of Collector MCC Faisalabad Tauseef Ahmad Qureshi conducted many raids to fail the smuggling bids and seized contraband items worth Rs 16.437 million. ASO team following the directions of Collector MCC Faisalabad

Mcc faisalabad has collected Rs 9.256 million under the head of income tax, Rs 358.999 million in wake of sales tax, Rs 46.835 million as customs duty

Smuggled hardware impounded

he Customs Investigation and Intelligence has seized smuggled goods worth millions of rupees, including breakers, hardware items and arrested a suspect, sources told Customs Today on Friday. The sources said that acting upon information of Deputy Collector of Customs Saad Atta Rabbani, the customs authorities intercepted a truck which was coming from Rawalpindi and re-

covered millions of rupees circuits breakers, steel buckles, polyester rolls and other items. The Customs authorities, under the supervision of Superintendent Nasir Minhas, while seizing smuggled items arrested the suspect. The sources said that the smuggled items were being illegally transported form Rawalpindi to the local market in Lahore. The Customs sources said that Customs authorities registered a case against the accused person while further investigations are underway.

Meanwhile, Customs Preventive Lahore seized 120 live turtles from a passenger at the Allama Iqbal International Airport, official sources told Customs Today on Tuesday. The sources said that on suspicion, the Customs authorities’ deputed at airport intercepted a passenger and in the result found 120 live turtles weighing 47 kilograms from passenger Afzaal Munir son of Muhamud Munir of Lahore. He was going to Bangkok by Thai flight TG346.

Tauseef Ahmad Qureshi conducted many raids to fail the smuggling bids and seized contraband items worth Rs 16.437 million. Other seized items include 16,260 kilogrammes of red chilli seeds, 1,420kg auto parts, 3,453 yards of cloth, 39,500 litres of diesel, 354kg art silk cloth, 51 units of tyres, 2,350kg whey powder, 354kg black pepper, 4,516 cans of Rani juice and 9,040kg

More BoI, fBR cases started in fSt he Federal Service Tribunal (FST) heard two cases involving complaints against Board of Investment (BoI). The FST bench also heard a case comprising petition carrying FBR as respondent while another, review petition, pertaining to Ministry of Finance (MoF). Sharafat Hussain and Niaz Ali had filed the petitions carrying BoI as respondent and were adjourned to September 9 and October 7 respectively.

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Dar hails 0.5% cut in policy rate Tuesday, September 15, 2015

Business

ISLAMABAD: Finance Minister, Senator Mohammad Ishaq Dar Saturday appreciated the decision by State Bank of Pakistan (SBP) to reduce Policy Rate by 0.5 percent and said it would boost business and economic activities in the country. “The decision reflects stability in the economy and that record low inflation of less than 2 percent in the months of July and August 2015, facilitated reduction in Policy Rate”, Dar said in a statement issued by the Finance Ministry here. He said Ministry of Finance making all out efforts to achieve the target of US$ 21 billion for the year 2015.

closing: kSe-100 index sheds 305 pts, down 0.90% to end in red zone

investors, further depreciation of rupee, volatile oil prices, sector-specific concerns, and expectations of selling by local CPPI funds continued to deter fresh buying in the market. As a result, KSE 100-index remained range-bound and fell down slightly by 0.6 per cent WoW to close at 33,673 points with average traded volumes down 29 percent WoW to 206m shares. Average daily volumes declined by 29 per cent WoW, whereas traded value declined by 26 per cent to Rs9.2b/$87.9m). High and low were 33850.40 and 33332.24 respectively. Total volume traded in the market was 59,672,890 shares.

KARACHI

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he Karachi Stock Exchange benchmark 100-index lost 304.63 points or 0.90 percent to reach 33368.09 points and volume of 59,672,890 shares on Monday. Till midday, the KSE down 0.62 per cent, dropping 207.49 points to reach 33465.23 points level. Last week, volatility continued as fears of continued selling by foreign

Sheikh Asghar elected APTEA chairman MULTAN

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private sector asked to create employment for talented youth

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heikh Asghar Ali elected unopposed Chairman during the elections of All Pakistan Textile Exporter Association. According to details, All Pakistan Textile Exporter Association announced September 22nd for the elections of their association. The last date for the submission of nomination papers for candidate was September 10, 2015. Sheikh Asghar Ali submitted his nomination papers for chairman while no other candidate submitted his nomination paper for contesting against him.

KARACHI

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unjab Finance Minister Dr Aisha Ghaus has urged the private sector to generate more jobs to utilise skilled and talented manpower especially youth. The provincial minister said this while addressing the third Employer of the Year Award Competition ceremony, where 33 winners were conferred awards in different categories. She said that more than two million

youngsters needed to be provided employment, but they should be provided right education and skills, including technical and vocational training, to meet the requirement of employers and corporations. Besides employment opportunities, employers and corporations should ensure conducive working environment, including basic rights and mandatory safety requirement of the employees at workplace, she said, adding that the employers should provide an opportunity of skill development to their workers for the best of their contribution in corporations and the

economy. The Employers’ Federation of Pakistan (EFP) presented awards to a number of national and multinational companies for their contribution towards creation of skilled workforce in Pakistan under its 3rd Employer of the Year Award-2014 Competition. The competition was supported by the Technical and Vocational Education and Training (TVET) Reform Support Programme, which is co-funded by the European Union, the Embassy of the Kingdom of the Netherlands, the Royal Norwegian Embassy and the Federal Republic of Germany.

pIA earned Rs 2.8 billion in six months KARACHI

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he national flag carrier’s operating losses shrunk to Rs1 billion in first six months of the current colander year. Pakistan International Airlines (PIA) Chairman Nasser NA Jaffer, along with other senior officials briefed the media about the company’s financial report. He said that the PIA earned Rs2.8 billion operating profit after five years. However, he admitted that the decline in fuel prices had helped the national carrier get some relief. Jaffer also announced to induct four Airbus A320 aircraft in PIA by midOctober. The airline was inducting more aircraft, and by the next year its fleet would comprise 45 aircraft. “At present there are 35 aircraft and 30 of them are operational. However, we are planning to increase the number of aircraft to 45 by next year,” he added. Meanwhile, The central bank’s foreign exchange reserves have surged by 0.7 per cent to $13.556 billion on week ended September 4 as compared with $13,461 million of the last week. According to data released by the State Bank of Pakistan (SBP), the bank’s reserves increased $95 million.

SMEs, SSEs directed to adopt world financial reporting standards ISLAMABAD

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ith the aim to bring transparency, accountability and efficiency to the corporate sector, the Securities and Exchange Commission (SECP) has directed the

adoption of International Financial Reporting Standards (IFRS) for Small and Medium Sized Entities (SMEs) and Accounting and Financial Reporting Standards for Small Sized Entities (SSEs) as per the requirement of International Organisation of Securities Commission (IOSCO) principles. The adoption of international financial reporting standards is effective from annual financial periods beginning on or after Janu-

ary 1, 2015. According to a statement, all the non-listed public limited companies, which includes in the category of SMEs, are required to file their annual financial statements in accordance with the IFRS for SMEs issued by International Accounting Standards Board (IASB). Similarly, all the Small Size Entities (SSEs) will be required to prepare their accounts, i.e. balance sheet and profit and loss ac-

counts in accordance with Accounting and Financial Reporting Standards for Small Sized Entities (Revised) (AFRS for SSEs) issued by the Institute of Chartered Accountants of Pakistan (ICAP). The adoption of IFRS for SMEs by the SECP shall enhance the credibility of information by giving additional useful disclosures and comprehensive information. In addition, the public non-listed companies, according to their cat-

egory, shall either follow the IFRS or IFRS for SMEs only while preparing their annual financial statements. The IOSCO standards require public non-listed companies to prepare their financial statements by using a high and internationally acceptable quality accounting standards. The SECP has issued the notification approving the revision in existing qualifying criteria of nonlisted companies.

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irectorate General Customs Intelligence and Investigation Islamabad has seized Rs 223 million smuggled goods and registered 121 cases against the smugglers while arrested nine suspects during August 2015. Deputy Director headquarter Khaldunul Haq told Customs Today that during the course of anti-smuggling activities in August 2015, Directorate General Customs Intelligence and Investigation Islamabad seized smuggled goods worth Rs 223 million from different parts of the country, including 130,643 yard cloth worth Rs 15 million, 600 kilograms of smuggled tea having worth of Rs 150,000 while 48 offending vehicles

having worth of Rs 55 million were also seized during August 2015. He added that 227,800 liters of diesel worth of Rs 13 million, electronics goods worth Rs 19.2 million, smuggled urea worth Rs 3.9 million and tyres, tubes and auto parts worth Rs 10.8 million were also seized while 5,064 dandas of foreign smuggled cigarettes and gutka worth Rs 4 million were seized during the anti-smuggling drives in August 2015. He further added that 42 non-duty paid vehicles worth of Rs 57 million, and smuggled goods worth Rs 42.3 million were seized while 191 smuggled blankets, and toiletries having worth of Rs 1 million were also seized during antismuggling activities. He added that during this month, 121 cases were registered against the smugglers and nine suspects were arrested.

Meanwhile, Customs Intelligence and Investigations has impounded smuggled tyres and auto parts worth Rs 10.25 million, official sources told Customs Today here. The sources added that on the information of Director Saud Imran, the Custom authorities intercepted a truck which was coming from Peshawar on Multan Road and seized the truck loaded with smuggled motor-bike parts and tyres. The sources further revealed that the truck was bound for Misri Shah in Lahore. It was reported that 150 cartons of motor cycle chains and above 400 tyres of trucks, vans and motorcycles were seized. It was said that the operation against the smugglers was conducted under the supervision of additional director Rizwan Slabat. Superintendent Nasir Minhas and Rizwan Farooqi led the anti-smuggling

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Tuesday, September 15, 2015

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eDItoRIAL

Scandalising energy projects

he Nandipur Power Project is emerging as one of the biggest scandals in the history of the country amid media reports that Prime Minister Nawaz Sharif has ordered a complete audit of the project after millions and millions of rupees public money has been wasted away. A big advertisement campaign had been launched to give false hopes to the nation that the load shedding will end in the near future but scandals are begin to appear on the national scene. The National Accountability Bureau has already held a session of questions with Minister for Water and Power, Khawaja Asif as the project has been closed down after spending $800 million hard earned money and without fixing responsibility on anyone. The government should voluntarily start accountability process from its own house as NAB has no power to grill the minister of the ruling party who had approached the Supreme Court on the subject during the Pakistan People’s Party government. The duo, Prime Minister Nawaz Sharif and Punjab Chief Minister Shahbaz Sharif, is calling for the audit of the project and action against the officials responsible for the loss of national exchequer, but it is evident from the current state of affairs that nothing will happen and inquiry into the matter will also be a wastage of money and wastage of time. The project had been awarded to Dongfang Electric Corporation of China in violation of relevant rules and regulations. According to newspaper reports, the original cost of the project was $223 million in 2008 which was increased to $584 million in 2013 and now the cost has reached $800 million though the official circles question this figure, saying only $490 million have been spent and another $94m are yet to be spent. The country has been facing acute and chronic shortage of electricity for the last many years and the Pakistan Muslim League-Nawaz leadership had promised during the election campaign that ending energy crisis will be their first priority after coming to power. But after spending more than half of their tenure in the office, the party leadership is now finding a scapegoat to absolve itself of any responsibility. No doubt the government has tried its best to stay away from financial scandals and irregularities, but billions of rupees have been syphoned off and they remained unaware of the massive corruption going on right under their nose. The government has spent more than three times of the original estimates on the Nandipur project and it is still incomplete. Another mega scandal is also like to surface in the shape of Quaid-e-Azam Solar Energy project. One can only pray that God bless this nation in this situation.

Need to devise prudent auto policy A

LAHORE

DR AftAB AfZAL

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uto industry is one of the best earning sectors in many countries around the world and all the dynamics and contributing factors are available for the promotion of this sector in Pakistan. The country has strong subsidiary industry but it is always been overlooked by the police makers and the political elite at the helm of affairs. Ignoring this vital sector is leading the nation to nowhere as the subsidiary or the cottage industry is the base of the industrialization of the developed economies including Japan, Korea and China. The present government was expected to announce its auto policy this

year, but the matter is being deferred on one pretext or the other and Finance Minister Ishaq Dar, who is also the chairman of the Economic Co-ordination Committee of the Cabinet, has yet to pay attention on this sector. Earlier, the Federal Board of Revenue had expressed some reservations about the proposed incentives for the new entrants in the industry and the matter was deferred without reaching a conclusion. A committee was entrusted with the job to prepare the new auto policy, but it has yet to define limits and parameters for the new scheme of things in the background of the present auto policy which is not consumer friendly. The exorbitant prices of vehicles is not in the interest of the companies, govern-

ment and the consumers alike whereas international safety and quality standards are often ignored in the manufacturing of the vehicles at a local level. The government has to work on two points. How much to allow the import of foreign brands and how many vehicles should be produced annually in the local manufacturing units. The vehicles produced in the country should have indigenous touch as just assembling does produce revenues, but it keeps the scope of the industry within limits. There is a need to rationalize tax regime as the demand of the vehicles will grow at a fast rate in the coming years and low tariffs will definitely increase the scope and volume of auto industry in the country. Till now only Japanese compa-

nies are allowed to building assembling plants in Pakistan and reliance on a single country only lead to a blind alley at the end of the day. According to the Economic Survey 2014-15, Pakistan owes $5.5 billion to Japan and it should not be forgotten that strings of economic and political interests are always attached with loans and grants from any country. Therefore, instead of accepting loans and grants, the policy makers should insist on direct foreign investment in the country to boost the economy. No doubt Pakistan has vast experience and potential to emerge as the leading car and spare parts manufacturer and the government can earn a lot from this sector if a prudent auto policy is devised and implemented.

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Some banks still deducting WHT from filers: Traders ISLAMABAD: The representative of small business community of the federal capital has alleged that some banks still deducting withholding tax (WHT) on transactions from filers which is illegal. Patron Islamabad Chamber of Small Traders Shahid Rasheed Butt, in a statement, said that the attitude of banks amounts to frustrate government’s move to boost revenue through enhanced taxation on transactions. The negative practices by some banks continue to frustrate masses and honest taxpayers which may intensify standoff between business community and government over WHT, he said. Shahid Rasheed Butt said that financial institutions should not trigger opposition to WHT on bank transactions to maximise their profits as it is highly unethical and illegal.

Ministry of Petroleum fails to provide cheap LPG to masses: LPGAP hairman of Liquefied Petroleum Gas Association of Pakistan (LPGAP) Farooq Iftikhar said that Ministry of Petroleum has remained failed to respond to its national duty of providing LPG at cheaper rate to the masses and was instead involved in profiteering by auctioning its production of LPG at exorbitant rates. He said that it was a matter of concern that Ministry of Petroleum was playing role of silent spectator and taking no measures to rescue the local LPG industry which was struggling for survival while smugglers of low quality, spurious and adulterated LPG were playing freely. Iftikhar said that importers of LPG were on a rampage and were importing over 20,000 MT of LPG as import price was extremely attractive. In fact government waqs helping the importers by keeping price of local LPG high, he added. “We have time and again impressed upon OGRA and MNPR that Since December, LPG producers have consistently been setting their LPG base-stock prices far above the monthly Saudi Aramco Contract Price, failing to pass on the benefit of reducing global prices to consumers.

FRWO announces to support PIAF-Founder Alliance in LCCI polls 2015 IAF-Founder Alliance’s position in upcoming elections of Lahore Chamber of Commerce and Industry (LCCI) has strengthened as the Ferozepur Road Welfare Industrial Organisation (FRWO) has announced to support the group. The FRWO has also nominated its representative Mian Abdul Razzaq for chamber class elections, who will contest election 2015 on Alliance platform. FRWO Chairman Adeeb Iqbal Sheikh said that Ferozepur Road Welfare Industrial Organisation is also hosting a reception in honour of the PIAF-Founder Alliance on Tuesday to announce formal support for it. The meeting will be attended by PIAF chairman Irfan Iqbal Sheikh, Sheikh Arshad, vice chairman Kh Shahzeb Akram, Rana Mubashir Iqbal, Tariq Javed Fiazi, Manzoor Elahi Taj, Sheikh Riaz Ahmed and others.

Tuesday September 15, 2015

Chambers

govt allocates Rs 22b for early clearance of refunds claims: kh Asif SIALKOT

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ederal Minister for Defence, water and Power Khawaja Muhammad Asif has said that federal government has allocated as many as Rs 22 billion for the early clearance of refunds claims related to country’s leather, sports goods and surgical industries. He disclosed this while talking to traders here at Sialkot Chamber of Commerce and Industry (SCCI) said that the government was resolving al the prolonged and perturbing problems of the business community. He revealed that government was making all out sincere efforts to ensure the continuity of its trade and economic policies by taking the business community into confidence, besides, paving the way towards the goal of economical stability in the county, saying that the continuity of the long and short term economical policies was vital to boost the national economy and to take the national economy in tak-

ing-off position. He hoped that the Pakistan’s economy would grow and flourish soon as it needed hard work and long struggle to boost the country’s economy. Asif has stressed upon the need of the continuity of the business and tradefriendly policies for economical stability in the country, saying that PML-N government’s effective and positive economical policies were helping in restoring the confidence of the national and foreign investors and these policies were now bearing fruits due to which national economy was moving ahead

towards the goal of economical stability, saying that the federal government was successfully implementing on several effective and positive economical policies and these policies were now bearing fruits. He also reaffirmed to complete the past economical development agenda of the PML-N. He linked the national economical prosperity with the political stability and continuity of the economical and export development policies in the country. He added that the national economy was moving in the right direction to-

LccI hails SBp’s decision to cut interest rate by one percent

LAHORE

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he Lahore Chamber of Commerce and Industry hailed SBP’s decision to cut interest rate by one percent and said that it will help stimulate private sector growth. According to a statement issued here, the LCCI president Ijaz A. Mumtaz said that the Governor State Bank deserves appreciation for bringing down the interest rate to seven percent. Ijaz A. Mumtaz, however, called for measures to make interest rate cut meaningful and result oriented as if the other economic factor were not taken, they would continue to create problems

LccI president Ijaz A. Mumtaz for the economy in general and for the private sector in particular. The LCCI President said that perhaps the Lahore Chamber of Commerce and Industry (LCCI) is the

only chamber of commerce in the country that had termed a considerable cut in policy rate a panacea to low investment phenomenon. The LCCI President said that the cut will help ensure availability of cheaper money to cash starved private sector besides encouraging the potential foreign investors for investment in Pakistan. He, however, hoped that in the upcoming monetary policy, the interest rates would further be lowered. He said that the provision of ample cheaper liquidity is a must to create new businesses but in the last five years the higher interests kept the private sector growth at the lowest ebb causing huge damage to the businesses and unemployment graph also witnessed an unusual surge.

wards the goal of political and economical stability, saying that the country needed the development of the human resources for the continuous economical growth as well. He added that the government was fully aware of the prolonged perturbing problems of the business community and making all out sincere efforts for their amicable solution. He said that the government was also strengthening national economy and boosting the industrial structure, besides, striving to overcome the menace of the prolonged persisting energy crisis.

Aptma lauds PM’s commitment of resolving issues of textile industry auding Prime Minister’s commitment of resolving textile industry’s issues, the All Pakistan Textile Mills Association (Aptma) thanked Nawaz Sharif for holding a meeting with textile industry’s associations to finalise a relief package. Aptma Chairman SM Tanveer, in a statement, also appreciated the role of the Ministry of Commerce, Federation of Pakistan Chamber of Commerce and Industry (FPCCI) President Mian Mohammad Adrees and Trade Development Authority of Pakistan Chief Executive Oﬃcer S M Munir for organising the industry associations’ meeting with the prime minister. He expressed hope that the approval of a timely relief package by the prime minister would lead to resurgence of the presently impaired textile industry and reaping the socio-economic benefits for the country through a strong textile industry.

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US Customs seizes 1,100 pounds marijuana from Rio Grande Tuesday September 15, 2015

World

RIO GRANDE CITY, Texas: U.S. Customs and Border Protection agents seized more than 1,100 pounds of marijuana early Friday morning. Customs agents said they saw a pickup truck driving away from the Rio Grande with bundles of marijuana in the bed. According to Customs and Border Protection, when the driver of the truck saw the agents, he made a quick U-turn and drove towards the river. Agents said they found the truck abandoned at the edge of the Rio Grande with the pot still in the bed. The bust along the Rio Grande followed two other seizures of smaller loads of pot that brought the total seized Friday morning to nearly 2,000 pounds. Customs and Border Protection said the pot had a street value of more than $1.5 million. The marijuana will be turned over to the Drug Enforcement Administration.

world customs organization sponsors conference in Baku

fter some time, Azerbaijan will become a world leader in the wider use of new technologies, said Nobel Prize winner, Professor at Arizona State University Edward K. Prescott in his speech at the 10th annual PICARD conference in Baku. The conference titled “Program of cooperation in the field of academic research and development in the field of customs" sponsored by the World Customs Organization was held in Baku from September 8-10. The Nobel laureate expressed his opinion about the countries of Western Europe, America, the East, and Azerbaijan. He noted that in many Western countries, people receive money from the state in the form of aid, spurring laziness and therefore causing the number of people willing to work to decrease. This is the result of state policy, and is a more important issue than the economy itself. Outlining his thoughts about Azerbaijan, Prescott drew attention to the situation in the country over the past

HM Revenue Customs arrests air stewardess in tobacco smuggling case n air stewardess who repeatedly smuggled shisha tobacco into the UK from Dubai, evading more than £57,000 in excise duty, has been jailed for 18 months after she was investigated by HM Revenue and Customs (HMRC). Jade Kaur, from Stretford, was caught with 25kg of non-UK duty paid shisha tobacco and 3,200 cigarettes in her luggage when stopped by Border Force officers after landing at Manchester Airport in November last year. The 27-year-old was arrested and the HMRC investigation uncovered messages on her mobile phone that proved she had carried out at least a dozen similar long-haul trips while off duty. Kaur owned up to illegally bringing 275kg of shisha into the UK between July 2014 and November 2014 while flying in on staff-discounted tickets from Dubai, where she was based at the time, to Manchester.

Philippines Customs commissioner tightens transshipment rules

MANILA

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10 years. He stressed that Azerbaijan's population each year becomes richer in comparison with other countries. The Nobel laureate said that the situation in Latin America – Brazil, Argentina, Chile and others – is deteriorating gradually. European countries like Spain, Italy, and Greece are lagging behind in economic terms. “At the same time I want to note that in Asia the situation is improving. In Azerbaijan and Kazakhstan, there is a specific development,” he said. The moderator for the second day of the conference, President of the International Network of Customs Universities and chief editor of World Customs Journal David Wid-

dowson, expressed his gratitude to the Customs Committee of Azerbaijan for the excellent organization of the event. The event was also addressed by a representative from the Australian Customs Service and the spokesman of Leuven research center of global governance. During the discussions at the plenary session, the Director General of evaluating the activities and programs of the Azerbaijan State Customs Committee, Major General of Customs Service Igbal Babayev reported on “Management projects of innovative development of customs affairs at the Azerbaijan State Customs Committee: Azerbaijani customs practice.”

Ireland customs confiscates cocaine worth €1m at Dublin port

DUBLIN

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reland customs has seized drugs worth an estimated €1million at Dublin port. Officers discovered some 15kg of cocaine in a haulage vehicle in the Irish capital, after it arrived from the UK. The drugs were intercepted on

Saturday as part of a joint, intelligence-led operation between the Revenue Commissioners Customs Service and the Garda's drugs and organised crime bureau. Following the discovery, police officers have arrested a 36-year-old man and charged him with drug trafficking offences. He remains in custody and is due to appear in court in Dublin.

ustoms Commissioner Alberto Lina on Friday vowed to implement the edict originally issued by his close buddy, former Commissioner Angelito Alvarez, which tightened the rules on transshipment. The move was a measure to prevent a repeat of an incident that happened more than four years ago wherein around 2,000 container vans of highly taxable goods worth at least P3.6 billion went missing without a trace while being transported to the Port of Batangas. Ironically, the incident about the missing containers happened under the watch of Alvarez, which eventually forced his resignation after only 14 months on the job. Lina issued Customs Memorandum Order No. 28-2015, directing that all sea shipments, intended for use or consumption in the country, will be covered by the necessary import entry for immediate consumption, whether formal or informal, at the assessment office at the port of first discharge upon importation into the Philippine territory even if the fi-

nal destination is another port. Transshipment, which is allowed by the Tariff and Customs Code of the Philippines (TCCP), refers to the movement under Customs guard of imported cargoes from their original port of discharge to their final port of destination. Previously, it had been a practice in the ports that the assessment of imported goods for transshipment was done at the port of final destination rather than at the port of original entry. “This now requires the immediate filing of import entries and the payment of duties and taxes of goods at the port of first discharge instead of the practice of allowing the filing of entry and payment of duties in the port of final destination. To illustrate, the old practice allows cargo discharged in a Manila port to be transshipped to Cebu [as port of final destination] where the import entry will then be filed, and the duties and taxes will be assessed and paid,” Customs Deputy Commissioner for Assessment and Operations Agaton Uvero explained. “Transshipments will no longer be allowed and the filing of the entry at the final destination shall be strictly prohibited. That way, we prevent containers from missing during transshipment,” he said.

uk customs seizes €95k undeclared currency at Larnaca Airport

wo Spanish nationals, a man and a woman, are under investigation after attempting to illegally take €95,000 out of Cyprus. According to the police, the two were stopped at Larnaca Airport on

Friday night where a subsequent search uncovered €50,000 on the man and €45,000 on the woman. The funds had not been declared. The money was confiscated as evidence and the man and woman taken in for questioning.

Victoria city council approves redevelopment of customs house

VICTORIA CITY

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new entrance to the downtown core and a part of the frame of Victoria’s Inner Harbour could start coming out of the ground early in 2016. Victoria city council has approved developer Stan Sipos’s $40-million

redevelopment of the corner of Government and Wharf streets. The project, which is to start with demolition work before the end of this year, will replace the Canada Customs building at 816 Government St. The adjoining heritage building that faces Wharf Street will be gutted and renovated for mixeduse development. The seven-storey project will have 56,000 square feet

of office space, 43 residential rental units and 14,000 square feet of retail space, wrapping around the block on the ground floor. “This is huge,” Victoria Mayor Lisa Helps said. “It sends such a strong signal about the future of our downtown, the future of our Inner Harbour and the future of Government Street.” Helps said the development, which could be completed late in

2017, will be “the best of what Victoria can offer in the 21st century” as it brings together downtown office space, residential units and a retail component that will bring people downtown and help revitalize Government Street. “This will absolutely galvanize investment and reinvestment up and down Government Street, and I feel really excited about that,” she said.

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Port of Savannah to enhance its cranes with more automation GEORGIA: Georgia Ports Authority (GPA) is to extend its use of process automation technology from Identec Solutions to support the operation of new ship-to-shore (sts) and rubber-tyred gantry cranes (RTGs) at the Port of Savannah. GPA will now install Identec Solutions’ automated container hand-off and job promotion system on 30 new RTGs and, for the first time, on four new super-post-Panamax quay cranes. The port hopes to gain increased crane productivity, quicker turn times for street trucks and internal terminal vehicles and improved worker safety, removing staff from the ground.

Abu Dhabi customs foils 6,435 attempts of smuggling at various ports ABU DHABI

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he Department of Finance - Abu Dhabi (DoF), represented by the General Administration of Customs – Abu Dhabi, has successfully foiled 6,435 attempts to smuggle illegal substances into the UAE through the various customs ports in Abu Dhabi during the first half of 2015. A total of 6,596 illegal substances were identified including illegal immigrations, and the smuggling of drugs, diesel, prescription drugs, tobacco and other contrabands. Mezyad Customs Centre recorded the largest number of seizures, which amounted to 1,447 illegal substances; followed by Abu Dhabi Central Post Customs Centre with 1,425, Al Ain Central Post Customs Centre with 914, Al Ain International Airport Customs Centre with a total of 839, and Madheef Customs Centre with 658. The General Administration of Customs – Abu Dhabi continuously seeks to develop new work processes to maintain a healthy customs environment. The administration adopts the latest high level procedures and systems that help support foreign trade, increase government revenues through collecting fees imposed on the movement of certain goods.

Less congested East Coast ports key to sustaining Savannah’s gains he port of Savannah has had a blistering year of growth, with huge volume increases and market share gains in the Southeast and nationally. But for the leader of the Georgia Ports Authority, any optimism tied to being the fastest-growing major U.S. port this year must be tempered by continuing diﬃculties at other East Coast ports that could end up aﬀecting Savannah. The port has handled this year’s gains free of congestion, but its ability to permanently lock in diversions resulting from West Coast labor trouble and attract additional business following next year’s expansion of the Panama Canal will depend on it being part of a port range free of chronic bottlenecks, a situation that isn’t the case today.

Ports & Shipping

Tuesday September 15, 2015

of Virginia port of Seattle Launches Internal Port cargo volumes Investigation After e-mails Show mount in July T employee calling Black Business SEATTLE

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ort CEO Ted Fick placed two port employees on paid administrative leave after a racial discrimination lawsuit revealed port staffers trading offensive, racially-charged language. Port CEO Ted Fick placed two port employees on paid administrative leave after a racial discrimination lawsuit revealed port staffers trading offensive, racially charged insults. PORT OF SEATTLE This week, the Port of Seattle announced that it is pursuing an internal investigation regarding emails exchanged between two port staffers that contained racially charged insults. One set of e-mails provided to The Stranger appear to show the airport's dining and retail manager calling a black business owner a "thug." On Monday, Port CEO Ted Fick placed two employees on paid administrative leave, but would not confirm whether the employees were the two in question. The emails were obtained as part of the discovery process of a racial discrimination lawsuit filed by three minority-owned airport concession

businesses against the Port of Seattle last fall. The lawsuit alleges that the port relegated those businesses to remote locations with low foottraffic, charged them higher rent than white-owned businesses, and signed leases with them that had terms that were less favorable than those with white business owners. An excerpt of the e-mails between port staffer Elaine Lincoln and Deanna Zachrisson, currently the airport's business manager for dining and retail. An excerpt of the e-mails between port staffer Elaine Lincoln and Deanna Zachrisson, cur-

rently the airport's business manager for dining and retail. SeaTac Bar Group is one of the companies suing the port under the Civil Rights Act. The company, which is owned by Rod O'Neal and Jerry Whitsett, operates Africa Lounge and the Mountain Room Bar on Concourse A. The lawsuit, which claims that the port has plans to terminate contracts with all of the businesses in Concourse A, alleges that the port told SeaTac Bar Group it wanted to turn Africa Lounge into a shoe-shine parlor and barbershop.

he Virginia Port Authority, which operates terminals in Portsmouth, Newport News and Norfolk, reported Thursday that 225,988 standard 20-foot containers, or TEUs, moved through the port last month. Cargo counts at the Port of Virginia are oﬀ to a strong start, as the Virginia Port Authority begins its new fiscal year. The Virginia Port Authority, which operates terminals in Portsmouth, Newport News and Norfolk, reported Thursday that 225,988 standard 20-foot containers, or TEUs, moved through the port last month. That's an 8.8 percent increase from 207,771 container units posted in July 2014. For the calendar year, the port's TEU volume is 1.47 million, which is 10 percent ahead of the same period last year, and the fifth consecutive month TEU volume exceeded 210,000 units. "We started fiscal year 2016 with the highest volumes for TEUs, total containers and total rail containers for the month of July in the port's history," said John F. Reinhart, CEO and executive director of the Virginia Port Authority in a news statement. "At our terminals, we are beginning to process the volumes associated with the coming retail season and we anticipate this trend continuing through November." Of the 226,000 containers posted at the port last month, 43,491 were moved by rail. That's a 15 percent increase over 37,807 containers moved by rail in July 2014. Containers moved by trucks increased 6.3 percent to 82,090 over 77,247 in July 2014, according to the report.

Court asks further investigations about suspected cocaine drums

CHITTAGONG

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Chittagong court yesterday ordered the Department of Narcotics Control (DNC) to conduct further laboratory tests of an oil drum that is suspected of containing liquid cocaine. The court instructed the DNC to send samples from the drum – marked as number 59 out of 107 drums of imported sunflower oil – to the DNC’s lab in Dhaka to determine whether there was truly liquid cocaine inside. Additional Chief Met-

ropolitan Magistrate Nurul Alam Mohammad Nipu passed the order yesterday, said CMP’s Additional Deputy Commissioner (Prosecution) Kazi Muttaki Ibn Minan. He said the court on August 30 had ordered the investigation officer of the case to collect samples from drum number 59. Yesterday’s order came after the IO, Chittagong Metropolitan Police Detective Branch Assistant Commissioner (North) Mohammad Kamruzzaman, produced the samples. Earlier, traces of cocaine was found inside drum number 96 while the DNC also suspected there might be cocaine in drum number

59 as well. On August 27, the IO pleaded before the court to be allowed to conduct further lab tests on drum 59. The search for cocaine began on June 6, when the Directorate of Customs Intelligence and Investigation sealed a container in Chittagong Port on suspicion that it was carrying 2,140kg of liquid cocaine. Upon a physical examination of the container on June 8, a joint team failed to find the drug’s existence; but authorities decided to go ahead with a lab test to dispel any suspicion. The test revealed on June 27 that

there was indeed traces of cocaine inside drum 96. The following day, the police lodged a drug case with Bandar police station, while the court later ordered to attach the section on smuggling to the existing case. So far, six people have been arrested in connection with the case, while three people have given confessional statements under section 164 of Criminal Procedure Code. The alleged importer of the consignment, Khan Jahan Ali Limited Chairman Nur Mohammad, has been on the run since the incidents unfolded.

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Customs arrests Indian national for smuggling 3 gold slabs COLOMBO: Customs officials have arrested an Indian man while he was trying to smuggle gold slabs here by hiding them in his rectal cavity. “Three gold slabs valued at 1.5 million Sri Lankan Rupees ($10,790) were recovered on Thursday following a body search of a 21-year-old Indian man,” customs spokesperson Lesley Gamini said today. The officers at Colombo’s Bandaranaike International Airport said that the arrested man arrived on a flight from Chennai. According to customs sources, the incident were exactly the opposite of the general trend in which mostly gold is smuggled from Sri Lanka to India.

Tuesday, September 15, 2015

CUSTOMS BULLETIN

Smuggling of electronic gadgets: Court confirms interim bails of TCS employees KARACHI

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he Special Court of Customs Taxation and AntiSmuggling has confirmed the interim bails granted to six employees of the TCS who were booked for their alleged involvement in smuggling of electronic gadgets. Judge Syed Faiz Rasool Rashdi pronounced the verdict after hearing arguments from prosecution and defence sides. According to the prosecution, the customs authorities recovered a huge quantity of electronic gadgets, including costly mobile phones, watches, memory cards and USBs worth Rs 20 million from a TCS van on February 16. It was alleged that these gadgets were illegally smuggled into the country without payment of duties and taxes estimated at Rs 4.7 million. Subsequently, an FIR was registered against Syed Wasif Iqbal, Adnan Younis, Dilawar Abbas, John Kashif and two other employees of the TCS. Advocate Muhammad Masood Khan and Muneer Ahmed, who represented the applicants, submitted that the TCS employees were not involved in the smuggling of

gadgets as they are employees of the courier company and transporting the consignment on behalf of shippers in their official capacity. The

courier company is not bound to produce import documents, Khan argued. Moreover, he said, no case of smuggling is made out against his

clients as seized goods are not contraband. During investigation, the employees have provided the investigation officer the details of the con-

signees but he is not going after them, he added. He, therefore, requested the Court to confirm bails of TCS employees as they are entitled for such

Customs Intelligence seizes 30MT banned explosive material, arrests one PESHAWAR

NADIR khAN

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irectorate of Intelligence and Investigation-Customs has seized a container comprising huge cache of explosive material, besides arresting an accused. This was stated by Director Intelligence Muhammad Asghar Khan while address-

ing a press conference. He said on a tip off, a picket was established at GT Road on the outskirts of Peshawar. He said, there was 40 feet sealed container coming from Karachi loaded on a trailer truck belonging to a bonded carrier was detained and when thoroughly examined by the staff in the premises of the Directorate. On examination, he said, explosive material packed in 1,368 cartons weighting approximately 30 metric tons was found loaded in the

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container. The import documents proclaimed the contents to be glassware which were destined for Peshawar Dry port, he added. He said, explosive are banned item under the Import Policy Order most probably they explosive material could likely be used in terrorism or anti-state activities. FIR has been lodged against the relevant culprits out of whom one is already arrest. Further investigation is underway and more arrests are expected, he concluded.