April 27 layout 1

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PAKISTAN’S FIRST INDEPTH NEWSPAPER ON CUSTOMS

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Karachi, Thu April 27, 2017

KARACHI

U H KHAN

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ustoms Collectorate Port Qasim detected mis-declaration of wood consignments by two companies which were trying to evade taxes and duty by showing less weight.

According to sources, M/s Kashif and Company and M/s Yaqoob and Company attempted to evade taxes of Rs 992,000 on expensive wood im-

ported from Europe.

The two companies imported Swan timber and resorted to mis-declaration. However, Risk Management System (RMS), which is an efRicient system to detect mis-declaration, detected the tax evasion attempt on which Collector Port Qasim Saeed Akram directed Additional Collector Khalil Yousufani and Additional Collector Yasir Murtaza to check the consignments carefully in order not to let anybody cause losses to the national exchequer.

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A CIU team headed by Deputy Collector Ahsanullah Shah and comprising Principal Appraiser Khalid Umer, Appraising OfRicer Rana Ansram Rabbani and Amir Shuja which inspected consignments of M/s Kashif & Company and M/s Yaqoob & Company.

The team found the above mentioned companies involved in mis-declaration by showing less weight of the consignments, therefore, the team received the actual amount of taxes along with plenty.

Samberial on top of collection with Rs64.07m more ST than assigned target

CM orders recovery of agriculture income tax from defaulters

China partner in development, prosperity of Pakistan: Shehbaz

Customs Appraisement collects Rs48413m duty, taxes

Internal Audit finds Rs3.8 b worth ‘ irregularities’ in Port Qasim

The North Region’s MCC Samberial comes on the top of collection under the head | SEE PAGE 02 |

Murad Ali has directed Irrigation deptt to conductathoroughinquiryintoillegalwater | SEE PAGE 03 |

Shehbaz has said that China is a great partner in the process of development | SEE PAGE 04 |

Collectorate of Customs Appraisement has collected Rs48413 million duty and taxes | SEE PAGE 14 |

The Customs Internal Audit has unearthed several irregularities in the affairs | SEE PAGE 16 |

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Nisar directs ANF to adopt zero tolerance against drug dealers Thursday, April 27, 2017

National

ISLAMABAD: Anti-Narcotics Force (ANF) Director General Major General Mussarat Nawaz Malik has called on Interior Minister Chaudhary Nisar Ali Khan in Islamabad.

DG ANF briefed Interior Minister about the performance of the institution to curtail drug trafficking and steps taken to rehabilitate the drug addicts.

Nisar Ali Khan stressed ANF to adopt zero tolerance policy against drug dealers to save our new generation from this evil. He said effective border management and building protective fence along with western border can help prevent drug smuggling.

Samberial on top of collection with Rs64.07m more ST than assigned target

Customs Court issues non bailable warrants against superintendent I&I KARACHI

M B RANA

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he Customs Taxation & Antismuggling Court judge Syed Faiz Rasool Rashdi issued a show cause notice against Superintendent Intelligence & Investigation-FBR (Federal Board of Revenue) Quetta due to noncompliance of court’s order.

According to the show cause notice, case no 129/2016, FIR no 2181DCI versus Syed Manzoor Hussain & others was fixed for hearing for execution of non-bail able warrants against Muhammad Javad son of Muhammad Aziz but case could not be proceeded as Investigation Officer Syed Mohsin Ali has submitted status report and stated that warrants of arrest was sent to the superintendent, Intelligence & Investigation-FBR Quetta for execution of the same accused but you failed to reply his letter nor sent any intimation, therefore, case could not proceed.

Superintendent Intelligence & Investigation-FBR Quetta was directed to submit report on or before next date of hearing along with record without fail. Court also adjourned the hearing.

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ISLAMABAD

TARIQ DERYA

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he North Region’s Model Customs Collectorate (MCC) Samberial comes on the top of collection under the head of Sales Tax with more collection of Rs64.07million than the assigned target during the third quarter (January to March) of Financial Year

2016-17. The Samberial was assigned the target of Rs33.00million against the collection of Rs97.07million of Sales Tax during said period.

The Customs North Region comprises of MCC Islamabad, MCC Peshawar, MCC Samberial and MCC Gilgit-Baltistan.

The Customs’s North was assigned revenue target of Rs3214.20million ST during third quarter FY16-17 whereas it collected Rs3155.95million under the

same head. The document provided to the Customs Today showed that the North declined with the amount of Rs-58.25million against an assigned revenue target for third quarter. The MCC Islamabad collected Rs1339.81million against the assigned revenue target of Rs1255.00million. The MCC Islamabad exceeded its assigned target with an amount of Rs84.81million ST during third quarter FY16-17.

The MCC Peshawar was assigned

Rs1899.00million target of ST and it collected Rs1719.07million under the same head whereas it showed a little decline against the assigned target with an amount of Rs-179.93 during the third quarter of FY16-17.

The MCC Gilgit-Baltistan is showing no collection of ST because it was closed and dysfunctional due to heavy snow during the third quarter of January to March 2016-17. The MCC GB will reopen in May 2016-17 for business activity.

Faisalabad customs confiscates NDP items valued Rs07.0m P

FAISALABAD

NAEEM SHEIKH

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akistan Customs Intelligence and Investigation Faisalabad has seized items worth Rs07.00million involving customs duty and taxes of Rs05.01million by foiling different smuggling bids during Rirst week of April 2017 besides conRiscating two vehicles under Section (U/S 157 ) worth Rs03.07million being used for transportation.

The I and I Regional OfRice Faisalabad made four seizures in its regions including FIU Khushab, Sargodha and Sara-e-Muhajir by conducting successful operations against the smugglers.

While talking to Customs Today, Customs Intelligence and Investigation Faisalabad Superintendent Zahid Raza Bukhari said the intelligence teams are determined to curb the smuggling in the region and there is no room for smugglers.

He said the customs is taking ac-

tion against the smugglers with the cooperation of the other law enforcement agencies. He also appreciated the performance of the intelligence teams and vowed to continue such operations against the culprits. He added that Faisalabad intelligence seized Suzuki Carry Station Wagon with Registration No: WAJ-870 (Quetta), model 1995, worth Rs01.00million involving duty and taxes of Rs945500, Sulfocid 97 (Linear Alky Lbenzene Sulfonic acid 97% (24200-kg) worth

Rs03.00 involving customs duty and taxes of Rs985498, foreign origin (F/O), Tyres (14-Nos) made in China worth Rs420000 involving duty taxes of Rs 239232.

The intelligence team also confiscated smuggled Mazda truck No: TKA-023 (Jaffarabad ) cut and welded model 1994 worth Rs02.5million involving duty of Rs02.8million in Field Investigation Unit ( FIU ) Khushab and lodged cases against the smugglers during operations. Meanwhile, The

Model Customs Collectorate Superintendent Javed Hussain Sherazi, a BS-17 officer is going to retire from the government service on attaining the age of superannuation.

As per details, Javed Hussain Sherazi, presently posted as Superintendent of Import branch of the Federal Board of Revenue ( FBR ), Faisalabad. Furthermore, Qasim Khan Khattak Secretary FBR Head quarters Headquarters, Islamabad issued a notification no: 1141-C-III/2017.

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Syed Itrat takes charge as Assistant Director Faisalabad FAISALABAD: Syed Itrat Hussain, a Pakistan Customs Service officer of BS-17, has taken the charge of the post of Assistant Director at the Directorate of Customs Intelligence and Investigation (I & I) Faisalabad.

Sources told Customs Today that Itrat Hussain, pursuing Board’s notification No. Cll/ET/PT/PF/18/2017/420 dated 10-4-2017, relinquished the charge of the post of Assistant Director at Regional Office Custom Intelligence Faisalabad with effect from April 4 and took the charge of the post of Assistant Director in Faisalabad on April 10.

Thursday April 27, 2017

National

Pak-China border, closed due to heavy snowfall, reopened

CM orders recovery of agriculture income tax from defaulters

PESHAWAR

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he Pakistan-China border has been reopened for business and trade which was closed due to heavy snowfall. The border was opened after the protocol was signed between Pakistan and China. The border is closed on 30th of November and reopened in the month of April every year. The FWO has removed all the snow from the road and opened it for all types of traffic. The volume of trade with China will increase with the progression of activities followed by trade through China Pakistan Economic Corridor project. To gain more benefits, the federal government has directed the provinces to establish special security units to look after the trade with China through Gilgit-Baltistan.

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SNGPL earns Rs2.5 billion in 3Q LAHORE

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he Sui Northern Gas Pipe Line Limited (SNGPL) posted earnings of Rs2.5 billion in 3QFY17 up from Rs217 million in 3QFY16, driven by higher capex and operating profits. Operating profits for the company improved by 217 percent to Rs4.8 billion in 3QFY17 as company continued to undertake major capex for the completion of LNG pipeline. Another major trigger driving operating profits were lower UFG (Unaccounted for gas) losses as UFG losses came to less than 8 percent in 3QFY17 as compared to over 9 percent during same period last year. SNGPL operates on return on asset formula hence its profitability is directly proportional to its assets expansions and status of UFG losses.

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KARACHI

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indh Chief Minister Syed Murad Ali Shah has directed Irrigation department to conduct a thorough inquiry into illegal water outlets taken out from the system of Nara Canal.

“Please manage proper water distribution on the entire system,” he said, presiding over a meeting on water shortages, particularly on Nara canal system, at the CM House.

The meeting was attended by MNAs Mir Munawar Talpur, Nawab Yousuf Talpur, provincial ministers Dr Sikandar Mendhro, Imdad PitaRi, MPAs Ali Mardan Shah, Mir Hayat Talpur, Secretary Irrigation Syed Jamal Shah and others. MNA Nawab Yousuf Talpur pointed out that there were some illegal water courses on Jamrao Canal. On this the chief minister said it was not acceptable at all.

He directed Irrigation Secretary to conduct a thorough inquiry and take strict action if any illegal watercourse is detected and report him.

Secretary Irrigation Syed Jamal Shah said that the Nara Canal System can be divided into two sections: the Upper-Nara which is located between Sukkur Barrage and Jamrao Weir and it is 115 miles long and Lower Nara that is below Jamrao Weir that is 105 miles long. The total length of Nara Canal is 220 miles with a designed capacity of 13602 cusecs.

In the Nara canal system; there are six other canals such as Upper Nara, Lower Nara, Jamrao Canal, Twin Jamrao Canal, Mithrao Canal, Khipro Canal. It may be noted that the Nara Canal system came to maturity with the commissioning of the Sukkur Barrage in 1932, regulating the Rlow of Indus River and supply channels through the bed of Upper Nara. This enabled perennial irrigation of dry crops, cotton and wheat, in a large part of Nara Canal Com-

Murad Ali directed Irrigation Secretary to conduct a thorough inquiry and take strict action if any illegal watercourse is detected and report him

PTI files reference in SJC for removal of NAB chief

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ISLAMABAD

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www.customsbulletin.com he Pakistan Tehreek-e-Insaf (PTI) has Riled a complaint in the Supreme Judicial Council (SJC), requesting it to remove National Accountability Bureau (NAB) Chairman Qamar Zaman Chaudhry for his “deliberate criminal negligence” in not perusing corruption inquiry against the Sharif family.

PTI spokesperson Fawad Chaudhry, Riling the complaint un-

der Article 209, also requested the SJC to issue directives for criminal trial of the NAB chief.

The complainant stated that instead of eradicating corruption, the NAB chief helped ‘criminals’ avoid trials despite substantial evidence against incumbent Prime Minister Nawaz Sharif and his family members.

He expressed apprehensions that if the NAB chairman was allowed to continue working, he would hamper the independent and impartial

working of the Joint Investigation Team (JIT) against the premier and his family, as one of its members would be from the NAB. He stated that the NAB chief had failed to satisfy the Rive-judge bench that heard the Panamagate case on the query as to why an appeal was not Riled in the top court against the Lahore High Court (LHC) verdict wherein it was ordered that the reinvestigation could not be initiated against the Sharif family in Hudaibiya Paper Mills case.

mand. Rice cultivation was in the main area designated for nonperennial irrigation at the tail of the Eastern Nara Canal.

Before the construction of Sukkur Barrage the Nara Canal was an inundation channel, which follows the course of old Hakro River that ceased to Rlow in the 19th century. The secretary said that the Nara Canal Area Water Board has made serious efforts for equitable distribution of water.

Cotton ginners for zero tax on industry akistan Cotton Ginners Association (PCGA) has demanded for a three-year zero tax on ginning industry enabling it to get out of crisis. PCGA Executive Committee led by Chairman Dr Jasmal urged the government to not only abolish general taxes on electricity bills but also fix power tariff at Rs 5 per unit for ginning industry, besides announcing ginning package and cotton policy.

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Islamic banks flay imposition of 1% turnover tax KARACHI: Islamic banks have shown their reservations over imposition of one percent minimum turnover tax on loss-making Islamic mode of financing.

In a recent communication sent to the ministry of finance, the Islamic banking industry had raised concerns, considering murabaha transactions, including commodity murabaha as normal sales transaction.

Under Section 113 of the Income Tax Ordinance, 2001, the minimum turnover tax is required to be paid by those companies and banks, which are incurring losses.

Thursday April 27, 2017

Business

China partner in development of Pakistan LAHORE

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unjab Chief Minister Muhammad Shehbaz Sharif has said that China is a great partner in the process of development and prosperity of Pakistan through China-Pakistan Economic Corridor project (CPEC). He expressed these views while talking to a member of the Central Committee of Communist Party of China and Party Secretary of Jiang Xi Province, Lu XinShe in a meeting held here on Saturday.

The two leaders discussed matters pertaining to promotion in economic and trade cooperation be-

Indus Motor declares Rs10.2b profit after tax KARACHI

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ndus Motor Company on the basis of un-audited accounts of the company declared profit after tax of Rs10.2 billion for the nine months and quarter ended March 31, 2017, as against Rs8.8 billion achieved for the same period last year. According to Indus Motor CEO Ali Asghar Jamali, “The combined sales of CKD and CBU for the nine months period ended March 2017, was down 4 percent to 46,216 units against 48,004 units sold in the same period last year.

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tween Punjab and Chinese province Jiang Xi as well as promotion of connections between Chinese Communist party and the Pakistan Muslim League-N. On the occasion, Shehbaz Sharif said that a new era of eco-

nomic relations between Pakistan and China has started in the tenure of Prime Minister Muhammad Nawaz Sharif. He said China achieved several goals of development under the leadership of the

Communist Party and converted China into a role model of development for the world.

The Punjab CM assured the Chinese delegation that the Punjab government would take prompt steps for promotion of relations between the Chinese province Jiang Xi and Punjab province.

He said it is time to promote economical relations and stressed cooperation in other sectors besides CPEC. Shehbaz said that increasing cooperation between the PML-N and the Communist Party of China reRlects close connections between the leaderships of both parties.

On the occasion, Lu XinShe said Punjab has speedily achieved a number of milestones under the leadership of Chief Minister Muhammad Shehbaz Sharif.

PTDC, ETPB to promote tourism in Jhelum, Chakwal and Sheikhupura M

ISLAMABAD

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anaging Director Pakistan Tourism Development Corporation PTDC held a meeting here on Tuesday with Muhammad Saddiq-ul-Farooq, Chairman Evacuee Trust Property Board.

Pakistan Tourism Development Corporation and Evacuee Trust Property Board will work jointly for promotion of tourism in Chakwal,Jhelum, Nankana Sahib, Sheikhupura and Panja Sahib, Hasan

Abdal. A Proposal came under discussion to set up prefab Motels and tent villages at these places. They agreed to joins hand for the purpose. During the meeting MD PTDC appreciated the services of Chairman ETPB for development of the country and betterment of ETPB. He further said that PTDC is taking every possible step for promotion of tourism in the country. In this connection every possible resource will be utilized. Pakistan’s scenic beauty is known all over the world.

Its proper projection will not only increase earning of foreign exchange

but also increase in tourists Rlow.

Chairman ETPB appreciated steps being taken by MD PTDC for promotion of tourism. He assured PTDC every possible support for promotion of tourism. Meanwhile, The Engro Fertilizers proRit after tax fell 22 percent to Rs1.66bn (or Rs1.29 per share) in the January-March quarter 2017. Sales declined 15pc to Rs10.07bn, said a press statement issued here Tuesday, adding the sales dropped mainly due to weaker off-take of urea and diammonium phosphate as they were down 7 percent and 38 percent year-on-year.

Chawla orders registration of vehicles KARACHI

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indh Minister for Excise & Taxation and Narcotics Control Mukesh Kumar Chawla has said that the Excise Department is considering for transfer of ownership of any vehicle that the transferee and transferor should appear before the Motor Registration Authority for signing the transfer deed of the vehicle along with the original relevant file in order to maintain transparency in the registration and avoid any unpleasant situation. This he said while presiding over a meeting at his office here on Monday, said a statement.

Secretary Excise & Taxation and Narcotics Control Abdul Haleem Shaikh and Director General Shoaib Ahmed Siddiqui also attended the meeting He said that SOPs was being prepared for finalizing to hire consulting services to scan data and the facility for new registration of commercial and non commercial vehicles and duplicate number plates might be provided at regional level to facilitate the owners of the vehicles. Provision of facility for registration of auctioned vehicles at the regional headquarters is also underway, he added. Chawla directed the officers to facilitate the people and maintain transparency at all levels and if anyone was found guilty in any kind of maladministration and malfunctioning he would take severe action against him.

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Indus Motor declares Rs10.2 billion profit after tax KARACHI

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ndus Motor Company on the basis of un-audited accounts of the company declared profit after tax of Rs10.2 billion for the nine months and quarter ended March 31, 2017, as against Rs8.8 billion achieved for the same period last year.

According to Indus Motor CEO

Ali Asghar Jamali, “The combined sales of CKD and CBU for the nine months period ended March 2017, was down 4 percent to 46,216 units against 48,004 units sold in the same period last year. The reduction in production quantity was primarily due to modification of our production facility for the introduction of two completely new models of the Fortuner and Hilux Revo and some challenges faced in operational efficiencies due to pro-

longed and sustained overtime and some electricity breakdowns. We were, however, able to maintain our market share at 27 percent.”

Based on these results, the Board of Directors declared a third interim dividend of Rs30 per share for the quarter ended March 2017 which, on cumulative basis, added up to Rs80 per share compared to Rs60 per share for the same period last year. The company’s net sales revenues for the nine months ended March 2017 increased by 6 percent to Rs84.3 billion as compared to Rs79.7 billion for the same period last year. The Board of Di-

rectors were of the view that demand for automobiles remained strong due to positive consumer sentiments, availability of reasonably priced auto finance and a general feel good factor due to the improved economy and infrastructure spending by the government.

The increase in revenues and profits was due to new product launches, strategic change in sales mix and substantial improvement in parts and oil business.

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ustoms Intelligence and Investigation Multan Range OfRice has generated Rs3.14 million through auction of conRiscated goods and vehicles . According to the details, Customs Intelligence held public auction of conRiscated goods and vehicles lying in the warehouse of Customs Intelligence. Auction was held in the Customs Intelligence and Investigation Multan Range ofRice located at the Raja Pur Khanewal Road Multan Bypass. There were large number of people who participated in the bidding of vehicles and articles. Customs Intelligence offered 13 different lots including vehicles and goods in the auction.

Customs Intelligence presented three impounded vehicles which includes Toyota Vitz, Mercerdez Benz and Suzuki Swift during public sale of April. Toyota Vitz sold out in auction process and remaining vehicles were rejected in the auction due to fewer bids offered from their average price.

Customs Intelligence and Investigation Multan has also auctioned various articles including auto parts.

Customs Intelligence and Investigation

Multan has sold out various goods in Rs.2.38 million from the auction of miscellaneous goods in April. The net amount generated from the auction of goods and vehicles were Rs.3.14 million.

Deputy Director Customs Intelligence and Investigation Abdul Mueed Kanjoo has supervised the whole auction process of conRiscated vehicles and goods along with Superintendent Fareed ud Din Masood and Inspector Malik Nasir.

Meanwhile, The Customs Collectorate has reshufRled about 24 different employees including superintendent, inspectors and sepoys with immediate effect.

Sources told Customs Today that Deputy Collector Saad Ata Rabbani Multan Headquarter issued notiRication about transfer and posting of various employees within Collectorate according to their requirement. Superintendent BS-16 Habibur Rehman has been transferred from Multan International Airport (TrafRic ) to AntiSmuggling Organization and Investigation & Prosecution Branch Multan Customs House in the recent transfer orders.

Inspector Muhammad Altaf Kareem has been transferred from Multan International Airport (TrafRic) to Anti-Smuggling Organization Multan. Inspector Abdul Samad and

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Inspector Muhammad Saleem Khan have been relocated from Customs Dry Port Multan to Anti-Smuggling Organization Multan. Inspector Muhammad Asif is shifted from car cell of the Anti-Smuggling Organization Multan to Customs Dry Port Multan. Inspector Muhammad Khalid has been posted to International Airport Multan (TrafRic) on joining of his charge in the Collectorate. Inspector Muhammad Ali Gold has been given additional charge of General Branch, I&P Customs House to his existing charge of Collectorate of Customs Adjudication at Camp OfRice Multan.

Several Sepoys Muhammad Hashim, Sepoy Muhammad Ishfaq were transferred from Multan International Airport to AntiSmuggling Organization Multan. Sepoy Muhammad Irfan Qureshi has been posted from State Warehouse Industrial Estate Multan to Anti-Smuggling Organization Multan .Sepoy Hassan Noor is transferred from State Warehouse Industrial Estate Multan to Multan International Airport.

Dispatcher Abdul Sattar has been transferred from Customs Dry Port Multan to Anti-Smuggling Organization Multan.

Muhammad Khalid has been transferred from Customs House Multan to Multan International Airport (Traffic).

Thursday, April 27, 2017

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Founder & Chairman Zulfiqar Ali Editor Rahil Yasin editor@customsbulletin.com.pk For advertising & subscription marketing@customsbulletin.com.pk www.customsbulletin.com Phones: 042-35781643-4, Fax: 042-35781645 Address: 627, Siddiq Trade Centre, Gulberg, Lahore

EDITORIAL

Question of GDP growth

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ccording to the international financial institutions and independent economists, the economy of Pakistan has the potentials to ensure annual growth rate ofup to 10 percent for next 30 years and no one would be able to stop the country from entering a middle or higher income group of countries.However, the Institute for Policy Reforms, in its half-yearly economic review, has expressed the apprehensions that the country would not be able to achieve GDP growth rate of 5.7 percent for fiscal year 2016-17.The report says that increase in the current account deficit has breached year’s target by 1.5 percent as exports are falling and their ratio with regard to the GDP is at a historic low. Pakistan is passing through a process of industrialization in the context of the proposed economic zones along the China Pakistan Economic Corridor, but the nation will have to prepare itself to absorb the light machine industry of China into Pakistan. The government is doing lipservice day and night about its plans and policies, but all the incentives and policies should have to be materialized in practical terms.The government will have to offer comparative advantages to the Chinese investors who are willing to shift their light industry to Pakistan. On another note, the higher current account deficits in the absence of foreign direct investment could force the government to enter another loan programme with the International Monetary Fund. Payment of various external debts is also due which need befinanced by any source. The exports are falling, but the imports are on the rise despite the State Bank has imposed a condition of 100 percent cash margin on the import of consumer goods. The report from the Institute for Policy Reforms predicts that the fiscal deficit would exceed a target of 3.8 percent of the GDP. Inflation is, however, under control but the government will have to keep a check on it.Pakistan is facing a hostile neighbor close to its borders which is also trying its best to cripple the national economy. It is tarnishing the soft image of Pakistan as a result of which the country could only attract a meagre investment of around 15 percent as compared to more than twice in India and one and half time by Vietnam.

Pakistan’s electricity woes W LAHORE

DR AFTAB AFZAL

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ith the rise of temperature in various parts of the country, the electricity shortfall has soared up to 6,000 megawatts, promoting unscheduled load shedding from 12 to 16 hours a day. The officials put the electricity demand at 19,000 megawattagainst overall power supply of around 13,500 megawatt, suggesting a shortfall of 5,500 megawatt.The gap is filled through so-called load management as old age supply system also needs to be protected which causes up to 18 percent line losses. Some sources suggest the country pro-

duces less than 13,000 megawatt electricity and only 10,000 megawatt actually reaches the consumers.It is believed some government places and the industries owned by powerful politicians are immune to any load shedding schedule and only commoners are the victims of every trouble. Electricity generation is the task which needs to be done on priority basis and even the present government came to power with a promise that it will end load shedding within three years. However, the government has completed three years in the office, but there is no letup in the people’s woes. They continue to suffer in winter in the name of shortage of water and in summer due to raise in

electricity consumption.

The pathetic part of the situation is that no data is available to ascertain the exact figures of electricity generation, line losses and consumption. Sources suggest everything is a guess work.

The power supply system is not overhauled in parts of the country which also causes interruption and losses. Over three years of the present government has passed and it is still feeding the nation on empty rhetoric and false promises. In this situation, the field staff has to set priorities for distribution of electricity to various parties of the country.

Many feeders where shut down last year due to less electricity generation and more demand for supply. Various cities of the

country are facing unusual rise in temperature which is recorded at 47 degrees Celsius in Sibbi, Bhakkar, Rahimyar Khan and Khanpur and 46 degree Celsius in Dadu, Bahawalpur, Bhawalnagar, Larkana, Sukkur and Shorkot this month.

The met offices predict rising temperature in coming weeks and demand for electricity will further increase in urban and rural areas of the country. The industry is already facing worst kind of load shedding, slashing the output to minimum level.

However, the government should have to clear its mind that it is responsible for electricity generation and its distribution. And it is the government which has to resolve the issue.

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South Sound unemployment rates fall in March WASHINGTON: Each new year brings a temporary downturn in job growth as retailers cut jobs after the holidays. But as the seasons change and spring arrives, job growth returns. That was the case in March as Pierce and Thurston counties benefited from strong job growth and unemployment rates fell below 6 percent in both counties, according to state Employment Security Department data released Tuesday.

The Pierce County jobless rate fell to 5.8 percent last month from 6 percent in February, while Thurston’s rate moved lower to 5.3 percent from 5.7 percent, the data show. Pierce County added 2,200 jobs in March, showing growth in education and health services, professional and business services, trade, transportation and warehousing and leisure and hospitality, regional economist Jim Vleming said.

Education and health services led the way with 700 jobs, he said.

National Management College team visits FPCCI KARACHI

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group of 14 participants of 106th National Management Course of National Management College, Lahore along with three faculty members visited Federation of Pakistan Chambers of Commerce and Industry. FPCCI President Zubair F. Tufail, welcoming the team, briefed them about FPCCI role in developing the economy of the country, said press release here.

He explained the difficulties in meeting the targets of trade and industrialization. The high cost

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doing business,he mentioned, as one of the main reasons. He maintained that international recession had caused decline in Pakistan’s exports adding other countries including Turkey, Japan and Indonesia also suffered the same way.

He said that due to our full support and cooperation, present government collected Rs 3.6 billions of tax revenue in fiscal year 20152016, which was more than the set target. It was expected that during this year, the government would be able to achieve the target of Rs 3.9 billion. FPCCI President informed that in recent meeting with Federal Ministers of Commerce and Finance, FPCCI leadership requested for further enhancement in export packages and also issue directives to Commercial Attaches at Pakistan embassies to fully cooperate with exporters.

Thursday April 27, 2017

Chambers

ICCI delegation returns after successful visit to Egypt A

ISLAMABAD

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delegation of Islamabad Chamber of Commerce and Industry led by its President Khalid Iqbal Malik returned after a successful visit to Egypt. Founder Group Chairman Khalid Javed, Zafar Bakhtawari, Zahid Maqbool, Ch. Waheed ud Din, Naeem Siddiqui and Ms. Fatima Azeem were in the delegation.

During its tour to Egypt, the delegation visited Cairo Chamber of Commerce and Industry and signed a Protocol of Cooperation with it for strengthening connectivity between private sectors of Pakistan and Egypt further improving bilateral trade and economic relations between the two countries. ICCI delegation also visited Egyptian Business Association and held discussions to identify new areas of cooperation between Pakistan and Egypt Mushtaq Ali Shah, Pakistan of Ambassador to Egypt was present at the MoU signing ceremony and he also addressed the business community of both countries at the occasion.

Pakistan’s Ambassador in Egypt Mushtaq Ali Shah and his team fully cooperated with ICCI delegation during its visit to Egypt and organized its meetings with Cairo Chamber of Commerce and Egyptian Business Association. Pakistan Embassy in Cairo provided logistics support and great facilitation to ICCI delegation right from its landing in Egypt to its departure.

On his return, Khalid Iqbal Malik, President, Islamabad Chamber

of Commerce and Industry said that Pakistan attached great importance to its relations with Egypt as it was one of the most important countries of Africa and Middle East. He said that bilateral trade between Pakistan and Egypt should be increased at least up to $1billion with more strenuous efforts as both countries have good potential to promote two-way trade. He said to realize the actual trade potential, Pakistan and Egypt should fo-

OICCI for integration of revenue authorities for ease of doing business

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KARACHI

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verseas Investors Chamber of Commerce and Industry (OICCI) submitted comprehensive taxation proposals for the upcoming 2017-18 Sindh budget representing the collective recommendations of foreign investors.

OICCI proposals are focused on accelerating economic growth and foreign direct investment (FDI) inflow in the province and the country. OICCI President Khalid Mansoor said that OICCI members highly appreciated the action of the Sindh Government for reducing the rate of sales tax on services, from 15 percent to 13%, over last two years.

The members of the chember had noted that despite the reduction, Sindh Government through Sindh Revenue Board was able to increase its tax collection on services by 21 % in the first six months of the fiscal year 2016-17 as compared to the corresponding period in 2015-16, highlighting the fact that lower tax rates lead to higher collections. OICCI’s budget recommendations for Sindh included : agricultural income should be taxed on actual and not notional income, including rent income of absentee landlords—sales tax rate on services in Sindh should be further reduced from 13% to 10% over the next three years for registered entities—telephone usage sales tax rate of 18%, should be made equivalent to GST rate on

services—services of pharmaceutical industry and exports by registered persons should be zero rated—stamp duty on purchase orders should be eliminated as it is a tax on instrument, not on a transaction.

The OICCI document for Sindh also included recommendations for a better coordination between all sales tax authorities in Sindh, Punjab, Khyber Pakhtoonkhwa and Baluchistan and with Federal Bureau of Revenue (FBR)– a uniform deRinition of taxation of services and jurisdiction be agreed to facilitate the tax-payers and both life insurance and health insurance, which do not fall within the scope of deRinition of service, should be permanently included in the list of exempted services as was the case in Punjab province.

cus on frequent exchange of trade delegations as strong linkages between the private sectors would drive the trade relations to higher levels. He was hopeful that the MoU signed between ICCI and CCC would help in improving business linkages and trade relations between the two countries.

He highly appreciated the cooperation and support of Pakistan’s Ambassador in Egypt and his team extended to the ICCI delegation.

LabCorp Q1 revenues grow 5 percent aboratory Corporation of America today reported that its net revenues for the first quarter grew 5 percent year over year, while its diagnostics segment improved 8 percent. For the three months ended March 31, LabCorp posted $2.41 billion in net revenues, up from $2.30 billion in the year-ago quarter, and matching the consensus Wall Street estimate. Total revenues for the first quarter grew 3 percent year over year to $2.45 billion from $2.37 billion. In diagnostics, net revenues came in at $1.72 billion in Q1 2017 compared to $1.59 billion in Q1 2016. The increase was driven by acquisitions, price, mix, and organic volume, the company said in a statement. On a conference call following the release of the financial results, LabCorp Chairman and CEO Dave King noted that diagnostics makes up 70 percent of the firm’s total business. –CB Report

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Preventive officer Riaz to retire on July 15 ISLAMABAD: Riaz Ahmed, a Pakistan Customs Service officer of BS-16, is going to retire from the government service on attaining the age of superannuation.

The officer, presently posted as Preventive officer at Model Customs Collectorate of Preventive, Karachi, will stand retired from the government service with effect from July 15. Meanwhile, Muhammad Masood, a BS-18 officer of Inland Revenue Service, is going to retire from the government service on attaining the age of superannuation.

Thursday April 27, 2017

Islamabad Dy Collector Adjudication Jehan’s performance allowance granted ISLAMABAD

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Shahid, Tanveer made Members at Appellate Tribunals in Peshawar A

ISLAMABAD

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ehan Bahadar, a Pakistan Customs Service officer of BS-18, selected through the process of internal job posting (IJP), has been granted performance allowance.

The officer, presently posted as Deputy Collector at Collectorate of Customs (Adjudication), Islamabad, has been granted performance allowance (equivalent to 100 per cent of basic pay) with effect from April 4.

According to the notification, the grant of performance allowance will be governed through the terms and conditions laid down vide Circular No. C. No. 6(96)S(BIC)/2013-14 dated 06.03.2015 and will be discontinued in case prescribed terms and conditions are not fulfilled within one month from the date of issuance of this notification.

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Hamid Hussain assumes charge as deputy collector amid Hussain, a Pakistan Customs Service officer of BS-18, has assumed the charge as Deputy Collector at Model Customs Collectorate of Port Muhammad Bin Qasim, Karachi. The officer, in pursuance of Board’s Notification No. 1003-C-II/2017 dated 27.03.2017, relinquished the charge of the post of Deputy Collector at Model Customs Collectorate, Quetta with effect from March 31. Meanwhile, Amjad Aman, a Pakistan Customs Service officer of BS-18, has taken the charge as Deputy Director, Directorate General of Training & Research (Customs), Karachi. Amjad, pursuing the Board’s Notification No. 1003-C-II/2017 dated 27.03.2017, relinquished the charge of the post of Deputy Collector, MCC of Preventive, Karachi. –CB Report

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gha Shahid Majeed and Syed Tanveer Ahmad have been appointed Members Technical at the disposal of Ministry of Law and Justice. The services of Agha Shahid and Syed Tanveer, BS-20 ofRicers of Pakistan Customs Service, have been placed as Members Technical in pursuance of Ministry of Law and Justice, Islamabad’s NotiRications No.2(9)/2015-A.IV dated 05.04.2017. Agha Shahid Majeed has been transferred from the post of Collector, Model Customs Collectorate, Hyderabad and posted as Member Technical, Customs Appellate Tribunal, Peshawar.

Syed Tanveer Ahmad has been transferred from the post of Chief, FBR (HQ), Islamabad and posted as

Member Technical, Customs Appellate Tribunal, Bench-III, Karachi.

Both the ofRicers have been directed to relinquish charge, using

online HRMS facility made available to FBR or by using their IJP logins.

ASO seizes goods valued Rs15.1m in 3rd week T

FAISALABAD

NAEEM SHEIKH

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he Customs Anti-Smuggling Organization seized miscellaneous goods worth Rs15.1million in different operations during third week of April of Fiscal Year 217-18.

Sources told Customs Today that under the supervision of Deputy Collector Muhammad Rizwan, the ASO team conducted various raids against the smugglers to curb the illegal business.

The ASO team, participating in these seizure operations, consisted of Superintendent Dilawar Hussain, Inspector Khalid Ashraf Noor, Inspector Ali Zahid, Inspector Khalid Mehmood Dogar, Sepoys Muhammad Ashraf, Liaqat Ali, Israr Ahmad and Muhammad Abdullah.

The ASO team impounded three offending vehicles under section (U/S 157) worth Rs03.1million, auto parts worth Rs456759 and other miscellaneous goods (13193-kg) worth

Rs01.8million.

The ASO seized items with section contravened of Import and

Export Control Act-1950 punishable under Section 156(i) 89(i) and 90 of the Custom Act-1969

and forwarded the cases to the Customs Adjudication further proceeding.

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Customs Court adjourns hearing of 16 customs related cases LAHORE: The Customs Court on Wednesday adjourned the hearing of 16 cases related to customs matters. During the hearing of most of the cases, the counsels for accused requested the court to postpone the hearing of their respective cases for preparation of arguments on which the court adjourned the hearings for different dates.

According to the cause list, three out of 16 cases were fixed for formal hearing of accused named Shehzad, Abdullah and Tariq Fatmi. The pre-arrest bail pleas scheduled for Friday have also been adjourned for next hearing. The court also adjourned the cases of narcotics, tax evasion, smuggling and customs matters. Cases from Faisalabad, Lahore, Gujranwala and Multan were also scheduled for hearing on Friday.

Customs ASO seizes huge quantity of NDP goods from Gaddani KARACHI

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ustoms Intelligence and Investigation (I&I) Anti Smuggling Organization (ASO) apprehend smuggled contraband items worth millions of rupees from Gaddani. According to the information, the Anti Smuggling Organization (ASO) received credible information that a huge quantity of foreign origin milk / whey powder would be transported from Panjgor to Karachi through truck. The Directorate General of Customs Intelligence and Investigation (I&I) assigned the task to the deputy director of Anti Smuggling Organization Azam Khan who constituted a team of officers and boost up the checking at the entry and exit points of the city. The team remained vigilant

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and enhanced the surveillance. During the checking of the heavy vehicles the team of the Anti Smuggling Organization intercepted a truck bearing registration no TXL-684 near Reg Lak at Gaddani and during checking a huge quantity of foreign origin goods were found in it. The driver of the vehicle produced bilty No 3547 purportedly issued by M/s Muneer Dehani Traders Panjgoor in the name of Mobeen consignee and Haji Basheer Ahmed Dehani consignor along with GD No 600 dated 01-04-2017. The suspect truck was brought to the office of the Directorate of Intelligence and Investigation (I&I) Gaddani. During the complete search of the truck no TXL-684 the team found smuggled goods worth two millions of rupees. The foreign origin contraband goods were being smuggled to Karachi through Gaddani. The officer of ASO has registered the case against the culprit involved in the smuggling.

Karachi

SHC orders release of steel plates consignment on payment of fine

Customs Court grants bail to suspect booked in tax evasion case KARACHI

M B RANA

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he Customs Taxation & Anti-Smuggling Court Judge Syed Faiz Rasool Rashdi has granted interim pre-arrest bail to accused namely Mehmood Ayaz son of Muhammad Shah, proprietor of M/s Ayan Enterprises who was allegedly involved in evasion of the duty and taxes to the tune of Rs1,043,368.

During the hearing, said accused appeared before the court along with his counsel and moved an application for pre-arrest bail, counsel argued that his client is innocent and was falsely implicated in this case, who is ready to face trail, however, he has apprehension of arrest, therefore, and court may grant his bail till final disposal of this case. After his hearing, court granted his bail and observed in its order that, “Without touching the merits of the case, ad-interim pre-arrest bail is granted to accused Mehmood Ayaz subject to furnish surety in the sum of Rs2,00,000 each with P.R. bond in the like amount to the satisfaction of this court. Court also directed accused to join investigation if and when required by the investigation officer and appear before the court.

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KARACHI

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he Sindh High Court (SHC) has ordered release of a consignment of steel plates as the accused imported has agreed to pay differential amount to the Customs Department and to submit security in respect of Rine and penalty.

The SHC appellate bench, comprising Justice Munib Akhtar and Justice Arshad Hussain Khan, was hearing Sohail Muzaffar advocate who represented the accused importer. Sohail advocate requested before the bench to release the goods, lying at port, on payment of difference so that petitioner is saved of demurrage.

The bench observed that “prima facie the department has a strong case against the importer and the authority has also veriRied the actual price of goods in dispute and one claimed by the petitioner.

Kashif Nazir advocate, appearing for main respondent of Director Intelligence & Investigation, submitted that the consignment was cleared by the collectorate but the DIT detected the Riscal fraud and detained the consignment. The counsel for petitioner said

Thursday April 27, 2017

that he is ready to pay Rine and penalty also. The bench after this statement directed the petitioner to pay the custom duty and taxes to the collectorate concerned while securing amount of Rine and penalty with the Nazir of the court. Meanwhile, Sindh High Court (SHC) heard dozens of appeals Riled

by Pakistan Customs against different importers. The SHC Appellate Bench, comprising Justice Aqeel Ahmed Abbasi and Justice Nazar Akbar, also ad-

journed hearing of two cases pertaining to import of cotton and generators till April 27. The Appellant Department Riling the appeals through Masooda Siraj and Kashif Nazeer Advocates challenge maintainability of the suits and that whether the plaintiffs are entitled to exemption from duties and taxes on import of generators in terms of Schedule V of the Customs Act 1969 read with Section VI of Sales Tax Act, 1990.

DG Valuation revises values of Enameled Winding Wire

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KARACHI

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The Directorate General of Customs Valuation has revised the customs value Enameled Winding Wire/Copper Coated Aluminum Winding Wire through Valuation Ruling No 1124/2017 under Section 25-A of the Customs Act, 1969. Background of the valuation issue: Several Reports/Representations were received regarding instances of under invoicing in import of Enameled Winding Wires/Copper coated aluminium winding wire, being cleared under different H.S. Codes like 7605.2900, 7605.1100,

8544.1900, 7605.1900, 7408.1900, 8501,4090 etc. The Directorate through initial investigation found need to determine values of Enameled Winding Wire in the light of prevailing prices in the international market under Section 25A of the Customs Act, 1969, for uniform applicability, owing to such evidence of mis declaration. Therefore, this Directorate General initiated an exercise for determination of customs values of Enameled Winding Wires/Copper coated Aluminum winding wire under Section 25A of the Customs Act, 1969.

Various meetings with stakeholders were conducted and a Rinal meeting was held on 15-02-2017.

Importers had been requested to furnish invoices of imports during last three months showing factual value. Websites, names and E-mail addresses of known foreign manufacturers of the item in question through which the actual current value can be ascertained.

Copies of contracts made / LCs opened during the last three months showing the value of item in question. Copies of sales tax invoices issued during last four months showing the difference in price (excluding duty and taxes) to substantiate that the beneRit of difference in price is passed on to the local buyers. No documents were submitted in this Directorate General on or before the

said scheduled meeting. Method adopted to determine Customs values: Valuation methods given in Section 25 of the Customs Act, 1969 were followed to arrive at customs values of Enameled Winding Wire.

Transaction value method provided in Section 25 (1) was found inapplicable owing to ide variation in the values being declared to the customs. Identical / similar goods value methods provided in Section 25 (5) & (6) were examined for applicability to the valuation issue the instant case which provided some reference values of the subject goods but the same could not be exclusively relied upon due to wide variation in declared values of subject goods.

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Eversendai sees 27.4% revenue jump Thursday April 27, 2017

World

BAGHDAD: Eversendai Corp Bhd said its revenue should grow more than 27 per cent to RM2 billion this year, although a local research house is not as optimistic. Eversendai executive chairman and group managing director Tan Sri A.K. Nathan told NST Business the company was expected to post a 27.39 per cent revenue jump from RM1.57 billion last year. “We have strong footing in the Middle East, India and Southeast Asia. All these projects will contribute to the company’s growth. “We should be able to keep the momentum going and this year’s financial performance should be better than last year. Our focus now is to make sure that we get better financial performance quarter-on-quarter.

“We have strong order book and this should translate to RM2 billion turnover by the end of the year.

Police nab Taiwan nationals over drugs smuggling

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he Jakarta Police Narcotics Division exposed drugs distribution reportedly in-

Central Bank destroys 360m AFS in bank notes fghanistan’s Central Bank burned 360 million AFs worth of wornout bank notes on Monday which has brought the total in the past 11 years to 41 billion AFs. Afghans rely heavily on the bank notes, as consumers pay cash for almost everything they buy. As such, the lifespan of bank notes is not very long, officials said.

Central Bank officials did not however register the serial numbers of the worn-out bank notes ahead of Monday’s move and said registering serial numbers was difficult and time consuming. “It is difficult to inject bank notes based on its serial number into the market and then burn it according to the number,” said Qasim Rahimi, second deputy head of the Central Bank. Meanwhile a number of banking experts blasted officials for this and said. –CB Report

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volving Taiwanese drugs network and Aceh-Jakarta network.

Police seized 3.7 kilograms of methamphetamine from two Taiwan nationals and two Indonesians. “They use a body-wrapping method. The meth was strapped to their body using duct tape,” Jakarta Police chief Muhammad

Iriawan said at the SoekarnoHatta Airport in Tangerang on Wednesday 2017.

The case was exposed based on information provided by Taiwanese police officer Col. Jay Li, who was assigned in Indonesia, saying that two Taiwan nationals would attempt to smuggle meth to Indonesia. Based on the information, Police watched two Taiwan nationals, LCY and HMY, who had just arrived in Soekarno-Hatta Airport on Monday, 2017. When Police searched them, meth packages were found strapped on LCY and HMY’s bodies. LCY and HMY said that the meth would be sent to TAW. Police later arrested TAW in West Jakarta. TAW confessed that he was sent by SGY, a convict at the Cipinang Correctional Facility, to fetch the packages. Jakarta Police’s Narcotics Division head Sr. Comr. Nico Afinta said that his institution is still developing the case to hunt the brain behind the drugs distribution.

Iraqi envoy for inking ‘twin cities agreement’ with Pakistan

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mbassador of Iraq in Pakistan Dr Ali Yasin Mohammed Karim has underscored the need for inking a ‘twin cities agreement’ between Pakistan and Iraq, which, he argued, would not only help in dealing with visa issues but will also pave the way for bringing people more closer to each other and enhancing trade. He suggested that this could be done either by declaring Karachi and Basra or Karachi and Najaf or any other city as ‘twin

cities’ Exchanging views at a meeting during his visit to the Karachi Chamber of Commerce and Industry (KCCI) here on Wednesday, the Iraqi ambassador said by declaring any city in Iraq and Karachi as twin cities the two countries would relieve themselves of visa issues, as people will be able to move between the twin cities freely. The ambassador further said that Iraq had some factories, including 18 cement manufacturing factories. –CB Report

French Customs finds EUR 1m in Polish car PARIS

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ore than one million Euros in cash has been found in a Polish car in Urrugne, a village in southwestern France, the country’s customs agency said. Customs guards inspected the Audi car, which was travelling from Spain.

They initially found banknotes under the front seats and near the boot of the car, and found more in a container behind the rear bumper when they began dismantling the vehicle. In total, banknotes worth EUR 1,033,225 were found. The customs agency said it was a case of money laundering and added that it was a breach of obligations to file a declaration before crossing the border with sums of more than EUR 10,000. Two individuals were travelling in the car

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but information about them has not been released.

Meanwhile, France’s independent presidential candidate Emmanuel Macron, tied with far-right candidate Marine Le Pen in polls before the election, said Germany’s large trade surplus is harmful to the euro-zone economy and called for more balance. “Germany benefits from the imbalances within the euro zone and achieves very high trade surpluses,” centrist candidate Macron said in an interview published Monday with Germany’s Funke Mediengruppe and France’s Ouest-France newspaper. “Those aren’t a good thing either for Germany or for the economy of the euro zone. There should be a rebalancing.” Germany’s growing export surplus has raised concerns for the global economy as well as the European Union after reaching a record in 2016. U.S. President Donald Trump’s trade adviser accused the nation of exploiting a “grossly undervalued” euro.

Bay smokes $90m in taxes ay smokers are pufRing away an estimated $90 million every year in cigarette taxes – and it’s rising. The Bay of Plenty District Health Board area’s 24,000 smokers made up around 5 per cent of the nation’s total.

This meant that of the $1.7 billion the Government received in the last Rinancial year from tobacco taxes, Bay smokers contributed an estimated $89.8m. This is around $3700 per year for the average smoker, or $7400 per couple – just in taxes. Around 70 per cent of the cost of cigarettes is tax. A $20 pack-a-day smoker now pays more than $7000 a year in total.

Tauranga Budget Advisory Service co-ordinator Diane Bruin said smoking was a very costly exercise.

“Many people can’t afford it but they make choices, and if they choose to smoke then it affects the money they have left for groceries.” Ms Bruin said the service’s budget advisers recommended that people cut back, because reducing consumption and saving a bit of money was better than not doing anything. Despite the daily smoking rate falling from 17 per cent to 14 per cent in the past Rive years, the Government’s tobacco tax revenue increased almost half-a-billion dollars in that time. –CB Report

Specter of tax evasion haunts Swiss banks

S BERN

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wiss private banks have spent much of the past decade trying to rid themselves of lucrative accounts used to avoid taxes. But news of an international tax probe at Credit Suisse last month showed more work is needed to mend

Switzerland’s image as a tax haven.

Banks have written to tens of thousands of clients ordering them to “regularise” their affairs in recent years, either by proving they are tax compliant or taking their money elsewhere. Customers have withdrawn billions of francs as a result – often some of the banks’ highestmargin business.

And yet the banks are still not in

the clear. In 2017, they expected challenges in exotic destinations.

Switzerland has signed up to an everexpanding list of countries whose tax authorities would automatically get information on Swiss banks’ clients.

Countries such as Indonesia have worked through tax amnesties incentivising individuals to declare untaxed income. But the problem has resurfaced on their doorstep in Eu-

rope, where clean-up work has been most intensive. Investigators descended on Credit Suisse’s ofRices in the Netherlands, UK and France on March 30 searching for information about “dozens of people who are suspected of tax fraud and money laundering”. Dutch prosecutors, who coordinated the raids, said criminal investigations had also taken place in Germany and Australia.

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Oman, Kuwait agree to build new $7b refinery KUWAIT CITY: Oman Oil Company and Kuwait Petroleum International signed Monday an agreement to build a refinery worth around $7 billion in the sultanate’s southern port town of Duqm.

The 50-50 joint venture will have a capacity of 230,000 barrels per day when completed in 2019, Oman Oil Company chief Hilal al-Kharusi said at the signing ceremony in Muscat. The two partners will provide up to 35 percent of the investment capital, while the rest will be raised from local and international banks, he said. Bakheet al-Rashidi, chief executive officer of Kuwait Petroleum, said the project serves his company’s strategy of diversifying revenues.

Hong Kong Customs detains Bangladeshi citizen over smuggling traveler arriving from Bangladesh convicted at West Kowloon Magistrates Courts today of illegally importing endangered animals. Customs officers found 98 three-keeled land tortoises, 27 Indian pond turtles, two Bengal roof turtles and one Pangshura turtle were inside the luggage of the 26-year-old man who arrived from the Bangladeshi capital Dhaka. He was charged with the illegal import of endangered species. He man was sentenced to three months imprisonment.

Meanwhile, Customs officers busted a counterfeit ring, arrested seven people and confiscated 3,000 items valued at around HK$230,000 (US$29,600) after a raid on six places in Central, Hong Kong media reported. Seven people, from South Asia and the Philippines were arrested in the raid on Sunday over their alleged roles in stores selling counterfeit goods such as sneakers, backpacks to handbags and watches to mostly domestic workers. –CB Report

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100kg Cannabis seized by BSF on Bangladesh border

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Gulf’s largest lender sees Q1 net profit rise to $900m NB Group, the largest financial institution in the Middle East and Africa (MEA) region, has said its first quarter net profit reached QR3.2 billion ($900 million), up by 12 percent on the same period last year.

Qatar National Bank said in a statement that total assets increased by 35 percent to reach QR743 billion, driven by a growth rate of 33 percent in loans and advances. QNB Group added that it was successful in attracting new customer deposits to comply with the cap on loans to deposit ratio of 100 percent set by the central bank, which is effective from the end of 2017. The bank said it was able to maintain the ratio of non-performing loans to gross loans at 1.8 percent, a level considered one of the best in the region. –CB Report

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KOLKATA

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t least 100 kilograms of cannabis was seized by the Border Security Force (BSF) ofRicials in West Bengal’s North 24Parganas district on Wednesday, an ofRicial said. Acting on a tip-off, the Ramchandra Pur outpost troopers mounted a special vigil near the International Border, the ofRicial said.

“The BSF personnel challenged

some unidentified men with head loads and seized the Hemp cannabis wrapped in 47 plastic packets,” Deputy Inspector General R.P.S. Jaswal of the BSF’s South Bengal Frontier said. “The smugglers managed to flee taking advantage of the darkness. The cannabis has been handed over to the customs department of Bangoan for legal action,” he added.

The south Bengal frontier of the BSF has seized 406.45 kilograms of cannabis and apprehended three smugglers so far this year.

Meanwhile, DHAKA: Bangladesh

Customs Intelligence officials have seized a luxury Porsche car abandoned at Hatirjheel in the capital.

Its owner left a note in the car, requesting the authorities ‘not to pursue the person’, Customs Intelligence and Investigation Directorate (CIID) Director General Moinul Khan said. According to the CIID chief, the individual said in the note that he or she is a ‘respectable person’ and did not want the identity to be disclosed. The CIID, however, is not paying any heed to the request for the reprieve by the owner.

Thursday April 27, 2017

UAE Customs foils attempt to smuggle $1 million ustom inspectors in the capital foiled an attempt by an Asian man to smuggle SR3,750,000 (Dh3.7 million) into the country, the General Administration of Customs Abu Dhabi said. Inspectors on duty at Al Ghuwaifat Customs Centre found the money in the possession of the traveller entering the UAE through the land port in a truck, after they became suspicious of him. Under further inspection, officers found the money hidden in the rear seat behind the driver. A case was lodged by customs inspectors and transferred to the authorities concerned to take legal action. Mohamad Khadem Al Hameli, Acting Director-General of the General Administration of Customs Abu Dhabi said the administration was making continuous efforts to develop customs operations and adopts high-level customs procedures and regulations that support international trade, and enhances customs revenue. Al Hameli added: “The General Administration of Customs Abu Dhabi is working closely with relevant government entities to implement the latest customs inspection procedures and systems. It also continues to offer various types of training and skill development programmes for customs inspectors to enhance their role in protecting the country from illegal trade.” –CB Report

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Malaysia, Singapore to battle drug smuggling

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SINGAPORE

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olice in Malaysia and Singapore have detected new tactics used by cross-border drug trafRickers in the region which is to smuggle and distribute drugs through the Internet.

Bukit Aman Narcotics CID director Datuk Seri Mohd Mokhtar Mohd Shariff said, distribution tactics of drug trafRickers are changing, from using land or sea to transport drug

cargo using individuals who are easily duped to become drug trafRickers, without realising they are ‘drug mules’ and their latest tactic is to use the Internet.

“They (drug trafRickers) have their own website and they are also using Facebook, I cannot reveal details because it could interfere with investigations,” he told reporters after the 64th bilateral meeting of the Narcotics Division in Bukit Aman and Central Narcotics Bureau of Singapore here today.

Also attending the press confer-

ence was the director of the Central Narcotics Bureau of Singapore, Ng Ser Song. Mokhtar said the meeting was to discuss strategies to deal with the latest trend in drug smuggling, to study the possibility of strengthening the existing legislation and to improve co-operation on both sides. He said within the past two years (2015 and 2016) both enforcement agencies arrested 27 suspects believed to be involved in drug trafRicking through a joint operation and seized drugs worth RM25 million. Regarding drug arrests in Malaysia, he said from

January to March this year, 49,082 people were arrested for various offences, namely distributing, possessing and drug addiction. “As many as 2,064 foreign nationals have been arrested in the same period,” he said, adding that police seized various types of drugs worth RM77.74 million in the same period. Drugs seized included methamphetamine, ketamine, ecstasy, eramin 5, syabu and ganja. Various types of arms were also conRiscated, including homemade riRles and pistols plus 470 rounds of live bullets, he said.

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ANF arrests passenger at Lahore airport, seizes 2kg heroin Thursday April 27, 2017

Lahore

LAHORE: The Anti-Narcotics Force (ANF) has foiled a bid to smuggle more than two-kg heroin worth millions of rupees to Dubai from Allama Iqbal International Airport.

According to the official sources, the ANF recovered heroin from possession of a passenger, Ghulam Habib, who going to fly to Dubai by a private airline.

The ANF officials said that during checking of his luggage more than 2kg heroin worth millions of rupees was recovered from his possession.

ANF has arrested the suspect and shifted him to an undisclosed place for further interrogation.

Customs court adjourns hearing of accused mobiles smuggler

Customs Appraisement collects Rs48413m duty, taxes

LAHORE

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M IMRAN MEHAR

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he Special Federal Court of Customs Taxation and AntiSmuggling has adjourned the case of an accused arrested from Sialkot International Airport.

According to details available to Customs Today, the accused, travelling from South Africa to Sialkot, was checked by the customs ofRicials at Sialkot airport. The customs team, during the search of the luggage, found 30 costly mobile phones hidden in the baggage of Muhammad Sarwar. The customs team arrested the accused and presented him before the customs court for physical remand but the customs judge denied the request and sent him to jail for judicial trial. Muhammad Sarwar

About 3,000 Sikh Yatrees reach Lahore akistan Customs Wagha border has made all the arrangements to receive and clear more than three thousand Sikh Yatrees in a speedy way at the Wagha border. According to sources of Customs Today, more than 3,000 Sikh pilgrims have got their visas for Pakistan on the eve of Bisakhi Mela and other religious rituals in different cities of Punjab. Pakistan Customs has made special counter at Wagha Railway Station to facilitate Indian Sikh pilgrims. Higher authorities of Pakistan Customs will also be present at the Wagha to monitor all the procedures.

Earlier, this was stated by Chairman of Evacuee Trust Properties Board Siddiqul Farooq at a news conference in Lahore that all the departments, including Customs, Rangers and police, have made proper arrangements to welcome and facilitate the Yatrees on the arrival at Wagha border. –CB Report

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also Riled a petition for his post-arrest bail that has also been adjourned because of unavailability of prosecutor of the court.

Meanwhile, The Special Federal Court of Customs Taxation and Anti-Smuggling has approved a two-day physical remand of the accused arrested by the customs authorities from Lahore on the charge of smuggling powder milk by showing it as plastic raw material. According to sources of Customs Today, an accused Zahid Rasheed was booked by the customs intelligence while he was trying to smuggle a huge quantity of powder milk of different brands. The Customs Intelligence, on a tip-off, intercepted a truck in suburbs of Lahore city and found it loaded with international branded powder milk. Later, the customs intelligence raided a warehouse and found a huge quantity of powder milk.

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M HAYAT

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ollectorate of Customs Appraisement has collected Rs48413 million duty and taxes during nine months of Rinancial year 2016-17 against the target of Rs50370 for the period under review. The collectorate collected Rs18291 million customs duty during the nine months while it collected Rs25297 million sales tax during the period under review.

Similarly the collectoarte collected Rs4773 million withholding tax during the nine months while it collected Rs50 million federal excise duty during July to March Rinancial year 2016-17. Over all the Collectorate collected Rs48413 million duty and taxes during the Rirst nine months of Rinancial year 2016-17.

Meanwhile, Collectorate of Cus-

Customs Appellate Tribunal hears 16 cases on Wednesday

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ustoms Appellate Tribunal’s Division Bench-II, comprising Judicial Member Omer Arshad Hakeem and Member Technical Imran Tariq and single bench-II comprising Technical Member Imran Tariq, heard 16 cases and adjourned all of them until the next hearing.

The Customs Appellate Tribunal single bench-II adjourned the hearing of Rive cases, including Muhammad Latif versus customs Lahore, Customs Lahore versus Kaleem Saleem, directorate of Post Clearance

Audit (PCA) Lahore versus Zain Enterprises, directorate of Post Clearance Audit (PCA) Lahore versus Bristol Mayor and directorate of Post Clearance Audit (PCA) Lahore Rudolf Pakistan. The Division Bench-II heard 11 cases including Farhan Saleem versus Directorate of Intelligence and Investigation Faisalabad, Abdul Bari versus customs Faisalabad, Customs Faisalabad versus Iftikhar Ahmed, Ahmed Shah versus customs Multan, and Maxi Inch versus Valuation Lahore. –CB Report

toms Preventive has collected Rs 3,104 million duty and taxes during the month of March 2017 by registering a growth of one percent against the proposed target for the month under review. As per details, the Collectorate collected Rs 803 million customs duty (CD) during March against the proposed target of Rs 904 million for the month.

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Similarly, the Collectorate collected Rs 1,521 million under the head of sales taxes during the month under review against the assigned target of Rs 301 million. On the other hand, the Collectorate collected Rs 778 million withholding tax (WHT) against the assigned target of Rs 855 million for the month and Rs 1.79 million.

Customs Court hears 21 cases

he Special Court of Customs Taxation and Anti-Smuggling on Monday heard 21 cases, including pre-arrest bail pleas Riled by suspects. Most of the cases were adjourned without any proceedings as the parties and lawyers concerned did not appear in the court.

Hearing of pre-arrest bail pleas filed by accused Abdul Razaq and Salman were adjourned for new dates in the next week. A case against Shaukat Ali was also scheduled for hearing in which court recorded the statements of the parties. Shaukat Ali is on the bail nowadays. Framing of charges

against Humayon Rasheed also adjourned for next week. Final arguments and statements of the parties concerned in a case of smuggling against Rafique Ali has been also scheduled for hearing which is rescheduled for next week.

Meanwhile, The Customs Court on Wednesday adjourned the hearing of 16 cases related to customs matters. During the hearing of most of the cases, the counsels for accused requested the court to postpone the hearing of their respective cases for preparation of arguments on which the court adjourned the hearings for different dates. –CB Report

Customs Tribunal accepts appeal of M/s Khalid & Brothers

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LAHORE

SAJID NAWAZ

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he Customs Appellate Tribunal allowed the appeal and set aside the order-in-original in the case of M/s Khalid and Brothers against the Collector of Customs (Adjudication) Lahore.

Justice (Retired) Malik Manzoor

Hussain, Chairman of Customs Appellate Tribunal, declared in the judgment that the order without show cause notice is not only illegal but mis-use of jurisdiction. Such order passed is ineffective on the rights of appellant. Adjudication authority was bound to pass the order fairly, judiciously and strictly in accordance with the law.

As per details, M/s NaRiu Engi-

neering & Trading concern Lahore imported the consignment of Motorcycle parts from China and sought clearance vide GD No 5923 by the Customs Clearance Agent M/s Khalid & Brothers claiming customs duty @ 35%, 25%, 20% and 5% on different motorcycle parts.

The customs authorities observed some negligence and intercepted the consignment. A show cause no-

tice was also issued to the importer.

Adjudication authority heard the case and passed the order-inoriginal. The appellant, dissatisfied with the order, challenged the order in the Customs Appellate Tribunal. The tribunal member heard the case and remanded it back to the learned adjudication authority to hear the case and pass the fresh speaking order.

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Shipping activity at Port Qasim KARACHI: Four ships C.V Northern Monument, C.V MSC Pina, C.V UASC Al-Khor and M.T Sea Delta carrying containers and Chemicals were arranged berthing at Qasim International Container Terminal and Engro Vopak Terminal respectively on Tuesday. Meanwhile two more ships Trade UN and BBC Maine carrying Canola Seeds and Project Cargo also arrived at outer anchorage of Port Qasim (PQ) during last 24 hours. Berth occupancy was reported at the port at 53% on Tuesday where a total of eight ships namely, Northern Monument, MSC Pina, UASC Al-Khor, Saratov, Ikan Senyur, Bottiglieri Ambition, Sea Delta and Bneider are currently occupying berth to load/offload Containers, Coal, Canola Seeds, Chemicals and Diesel oil respectively during last 24 hours.

TIPC signs note with Sabah Ports on development tate-run Taiwan International Port Corp (TIPC) on Monday signed a memorandum of understanding with Malaysia’s Sabah Ports, in line with the government’s “new southbound policy” to develop the Southeast Asian market. TIPC chairman Wu Meng-feng on Sunday led a delegation overseas to seek business opportunities in Malaysia, Vietnam and other Southeast Asian nations, the company said, adding that Wu signed the agreement with Sabah Ports senior manager Lai Fue-Nar in Sabah. The delegation also included representatives of CECI Engineering Consultants, Wan Hai Lines and other Taiwanese firms, it added. Sabah Ports operates a facility in Kota Kinabalu, the capital of eastern Sabah state in northern Borneo Island, and has been focused on

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development of tourism, petrochemical products and consumer goods, TIPC said, adding that the deal would help it secure business opportunities. Sabah Port is strategically located near a number of emerging economies, such as the Philippines, Indonesia and Vietnam, as well as China, it added. The Sabah state government has rolled out several initiatives to facilitate further development of its ports, TIPC said, adding that the state is rich in natural resources. CECI Engineering Consultants was invited to the delegation due to its interest in possible basic infrastructure projects, including the construction of shipyards, logistics facilities and warehouses, TIPC said, adding that the engineering consulting firm exchanged views with local officials and Sabah Ports management on potential investment opportunities.“ –CB Report

Ports & Shipping

Adani Ports to study green field port project in Malaysia MUMBAI

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dani Ports and Special Economic Zone Ltd (APSEZ) Monday said it will begin a feasibility study on building a green Rield container port mainly at Carey Island, Malaysia. The port, to be located about 50 kms southwest of capital Kuala Lumpur, would be an extension of the existing Port Klang.

A Memorandum of Understanding (MoU) to that effect has been signed between APSEZ and MMC Port Holdings Sdn Bhd, a wholly-owned unit of MMC Corporation Berhad (MMC), a Malaysian utilities and infrastructure group with businesses ranging from ports and logistics, energy and utilities and engineering and construction.

“Malaysia is very strategic to APSEZ’s global strategy and with straits of Malacca being a global shipping route it helps us to drive our global transhipment strategy further.

With Vizhinjam port on one side and

Carey Island port on the other we will be able to give transhipment solutions to global shipping lines,” said Karan Adani, CEO, APSEZ. Simultaneously, MMC Port Holdings, Sime Darby Property Berhad and APSEZ have signed a separate MOU to study the feasibility of developing an integrated maritime city on Carey Island to support the planned new port.

APSEZ operates container handling facilities at its Rlagship Mundra Port

as well as in Hazira Port, both in Gujarat on India’s western coast and at Kattupalli near Chennai in Tamil Nadu on the eastern coast. It will soon start operating a new container handling facility it has built at Kamarajar Port at Ennore near Chennai. The company is also building a mega container transhipment port at Vizhinjam on India’s southern tip located in Kerala’s capital Thiruvananthapuram.

Thursday April 27, 2017

Four ships take berth at Port Qasim our ships C.V Jazan, M.V Saratov, M.T Bneider and M.T Gas Esco carrying containers, 35,400 tonnes coal, 54,812 tonnes diesel oil and 3,841 tonnes LPG, took berths at Qasim International Container Terminal, multi-Purpose Terminal (MW-2), FOTCO Oil Terminal and Engro Vopak Terminal respectively on Tuesday.

Meanwhile four more ships MSC Pina, UASC Al-Khor, Northern Monument and Sea Delta with Containers and Chemicals also arrived at outer anchorage of Port Qasim during last 24 hours.

Berth occupancy was observed at the Port at 47% on Monday where a total of seven ships namely, Jazan, Saratov, Ikan Senyur, Bottiglieri Ambition, Gas Esco, Gas Chem Adriatic and Bneider were occupied at PQA berth to load/offload containers, coal, canola seeds, LPG and diesel oil respectively during last 24 hours. A cargo volume of 62,246 tonnes, comprising 49,896 tonnes import cargo and 12,350 tonnes export cargo inclusive of containerized cargo carried in 1,543 containers (TEUs) ( 893 imports TUEs & 650 TUEs exports) was handled at the Port during last 24 hours. –CB Report

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Ports prepare for mega-ship threat U

WASHINGTON

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S seaports are joining forces, setting aside decades of regional competition over cargo as a wave of consolidation in the shipping industry threatens to cut some cities out of global trade routes. Shipping regulators are reviewing a proposal by the port authorities of Georgia and Virginia to discuss co-ordinating some operations, including investments in new equipment and negotiations with shipping lines. The ports of Seattle and Tacoma, Washington, merged most operations in 2015. The nation’s busiest ports, in Los Angeles and Long Beach, California, are sharing more data since severe congestion brought operations to a near halt along the west coast two years ago. The deals are a response to unprecedented consolidation in

the shipping industry. The world’s top ocean carriers have formed three alliances that went into operation at the start of this month and will control 90 per cent of shipments on major global trade routes.

They plan to save money by packing more cargo on larger ships that make fewer stops.

Many ports, fearful they would be left off shipping routes, are investing billions of dollars to dredge deeper harbours and install bigger cranes to handle the new class of mega-ships. Consolidation among US ports is the logical next step, experts say. “The shipping alliances have all the power,” said Geraldine Knatz, who was executive director of the Port of Los Angeles until January 2014 and is now a professor at the University of Southern California.

“We’ve got to stop Righting each other, and try instead to build some leverage.” Many secondary ports are

investing heavily to stay competitive. The Port of Miami recently spent more than $US1 billion ($1.3bn) on a deeper channel and other improvements, and expects volume to more than double by 2035. South Carolina’s Port of Charleston, the eighth-busiest US port, is spending $US2bn to break into the top Rive by 2020. The move toward partnerships underscores the stark choices facing ports on both coasts: beef up to handle big ships or get left behind. At stake are thousands of jobs and the livelihoods of importers, exporters and freight and logistics businesses that cluster around major ports.

Port terminals in Portland, Oregon, Oakland, California and elsewhere were idle last year, but shipping lines called other ports on the west coast and overall container volume to the region’s ports rose in 2016. In Europe, ports in Belgium and Spain saw cargo

volumes drop after ports in Britain, The Netherlands and Germany added capacity. Seattle and Tacoma, now operating as the Northwest Seaport Alliance, pool money and make infrastructure investments together. Last year, the ports handled 9 per cent more loaded containers, compared with a 4 per cent increase at southern California’s two ports and a 0.1 per cent drop at the Port of Vancouver, British Columbia, the closest large port to Seattle. The ports of Savannah, Georgia, and Norfolk, Virginia, the second and third-largest east coast container ports by volume, respectively, would continue to operate separately under their agreement, but would share some information such as what equipment they plan to buy and which types of cargo they would go after. This could allow the ports to complement each other by specialising in different kinds of cargo, rather than competing.

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PCG seizes 375 kg drugs valued Rs59m at Gawadar Coast PESHAWAR: The Pakistan Coast Guards (PCG) in coordination with Pakistan Customs on Monday claimed to have foiled a bid to smuggle a huge quantity of drugs through Gawadar coast.

A PCG team seized a suspicious boat allegedly carrying above 375 kilograms of fine quality hashish and 30 kg crystal heroin near Gawadar coast. The officials have also arrested nine sailors on board.

The PCG personnel launched an operation based on intelligence report, so the area was put under surveillance for days.

Thursday, April 27, 2017

CUSTOMS BULLETIN

Internal Audit finds Rs3.8 billion worth ‘irregularities’ in Port Qasim KARACHI CUSTOMS BULLETIN REPORT www.customsbulletin.com

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he Customs Internal Audit has unearthed several irregularities in the affairs of Model Customs Collectorate Port Qasim during Riscal year 2015-16, which caused Rs3.806 billion worth loss. The Internal Audit found that the revenue leakage occurred due to non-realisation of income tax and mandatory surcharge, non realisation of duty and taxes on time barred customs securities, non-auction of seized goods, excess payment of commission to the auctioneers, short assessment of duty and taxes on imported goods, wrong classiRication of imported goods and sanction of refunds beyond jurisdiction etc.

Internal Audit disclosed that MCC Port Qasim did not realised Rs1.53 billion income tax from M/s Engro Elengy Terminal Pvt Ltd on the import of Rloating storage and re-gasiRication unit (FSRU). Moreover, Collectorate did not collect surcharge on late payment of duty and sales tax. MCC Port Qasim is required to effect recovery total of Rs1.839 billion. Scrutiny of records revealed that goods declarations of M/s Pak-

istan Railway were cleared without conRirming the deposit of leviable duty and taxes. Collectorate is required to provide proof of payment of Rs501.342 million.

Scrutiny of bank guarantee record and PRAL data for 2015-16 revealed that Customs securities obtained from various importers were

found expired their mandatory period. MCC Port Qasim even after expiry of reasonable time has failed to initiated recovery action/encashment of the same and an amount of Rs467.316 million is stuck up.

Corporate guarantees deposited by M/s Halliburton Worldwide Ltd, M/s Sea Land Drilling

Contractors, M/s Weatherford Petroleum Services, M/s BGP Pakistan International, M/s Sprinte Oil & Gas Services, M/s Weatherford Oil Tool Limited, M/s Exalo, M/s ENI Pakistan Limited, M/s Geofify Krakow S.A Pakistan, M/s Eastern Drilling Services, M/s Supreme Oil Services under SRO

678(I)/2004 were found expired.

Internal Audit highlights that MCC Port Qasim cleared several goods declarations (GDs) in respect of petroleum companies and their contractors without obtaining the requisite corporate guarantees to secure the element of sales tax to the tune of Rs61.324 million.

SHC seeks reply on petition filed by M/s Shell Pakistan KARACHI

M B RANA

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he Sindh High Court (SHC) has again issued notices to tax authorities, law officers of all the provinces, directing them to assist the court in respect of a controversy relating to chargeability of sales tax on services being provided in more than one province, particularly

after 18th amendment in the constitution. The court issued the notice on a constitutional petition filed by Shell Pakistan Limited. A two-member beach, headed by Justice Aqeel Ahmed Abbasi, was hearing the petition.

During the course of hearing, Salman Talibuddin, Additional Attorney General ans Syed Zainul Abidin Shah, Deputy Commissioner Sindh Revenue Board (SRB) have shown appearance and claim copy of instant petition and requested for time to assist the court on the subject controversy as

recorded in order dated March 22, 2017, after their arguments, court once again issued notices to law officers of Punjab, Baluchistan, KPK and Islamabad for next date of hearing.

Court also continued the interim order and adjourned the matter for May 16, 2017. Court had restrained the respondents from taking any coercive action against the petitioner.

It needs to be pertinent here that on last date of hearing, after arguments of the learned counsel for the parties, court observed in its order that “it tran-

spired that the controversy agitated through instant petition relates to chargeability of sales tax on services in respect of the amount of royalty and franchisor/ licensor and the amounts received by the petitioner from the retailors from all over the country. However, the dispute has arisen pursuant to impugned show cause notice issued by Sindh Revenue Board requiring the petitioner to make payment of sales tax on services in respect of entire amount received by the petitioner”.

Earlier, counsel for the peti-

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tioner argued that amount of sales tax on services in respect of transactions beyond the territorial jurisdiction of Sindh, as well as by FBR, cannot be demanded

by SRB, he further submitted that the order to resolve such controversy, notices may be issued to the attorney general of Pakistan, advocate generals of all provinces, including Islamabad, who may assist this court in respect of a controversy relating to chargeability of sales tax on services being provided in more than one provinces, particularly after 18th amendment in the constitution.