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pAkIStAN’S fIrSt INDeptH NewSpAper oN cuStoMS

Daily

Vol 1 Issue No. 261

Karachi, Fri December 11, 2015

ISLAMABAD

SHAHID MINHAS

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he Federal Board of Revenue has received 36,000 objections from taxpayers about IRIS system, it is learnt here.

According to sources, the FBR introduced IRIS (Integrated Risk Information System) for the taxpayers but a lot of faults are emerging in this software due to which, the board is facing revenue shortfall and has failed to

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achieve the tax returns target.

Sources added that World Bank has declared this IRIS system as not up to the mark.

While this system is not suitable for the IT revenue collection also. Sources also added that IRIS system was not test as this system needed to test for trial basis. This is the reason that this system cannot bear heavy load.

Sources added that when this system is launched only four lakh income tax returns were received till yet while during previous year around 1 million of tax returns were collected by FBR.

FBR Chairman Nisar Khan assures IMF officials of achieving revenue targets

Rs 2.323m tax evasion: PCA issues show-cause notice to Muller & Phipps

No Pakistan International Airlines employee to lose job: PM

Customs foils bid to re-export smuggled items worth Rs 272.82m

FCCI urges govt to adopt independent economic policies

FBR Chairman Nisar Khan will reach Islamabad after taking part | See pAge 02 |

The PCA has issued a show-cause notice to M/s Muller and Phipps (Private) Limited | See pAge 03 |

No employee of PIA will lose his/her job in the planned privatisation of Pakistan | See pAge 04 |

In a fresh drive against smuggling, the MCC Preventive has busted a network of cartels | See pAge 12 |

Pakistan is unable to formulate independent economic policies | See pAge 09 |

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Quetta Customs impounds huge quantity of hashish Friday, December 11, 2015

National

KARACHI: Directorate General of Intelligence and Investigation Quetta has seized a huge quantity of hashish. Sources told Customs Today, that director customs intelligence received credible information regarding the smuggling of fine quality of hashish after which he constituted a team which intercepted a Mazda truck. During the checking process of the truck, the customs team recovered 170 kilograms of fine quality hashish.

It is pertinent to mention here that customs team also recovered 300 kilograms of hashish from a car. Cases are registered against the suspects.

fBr chairman Nisar khan assures IMf officials of achieving revenue targets

KARACHI

ISLAMABAD

AftAB cHANNA

M fAIZAN

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he Special Court of Customs Taxation and Anti-Smuggling on Tuesday imposed a penalty of Rs 200,000 on a currency smuggler after he pleaded guilty to the offence. Judge Syed Faiz Rasool Rashdi announced the verdict after suspect Aqil Ahmed entered guilty plea. According to the prosecution, Aqil Ahmed was caught with over $15000 at the Jinnah International Airport. He was about to fly to China carrying currency without declaring it. The customs authorities had taken him into the custody and registered an FIR against him. The suspect, represented by Advocate Aqeel Ahmed, told the court that he is pleading guilty to the offence and threw himself on the mercy of the court. Meanwhile, The Customs Preventive has arrested a passenger who was carrying 40,000 dollars at the Jinnah International Airport Karachi. According to details, the staff of the Air Freight Unit intercepted a passenger namely Zahid Khilji and recovered more than $40,000 from his possession while on body search. The passenger was carrying the amount to Dubai through an Emirates Flight.

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ederal Board of Revenue (FBR) Chairman Nisar Mohammad Khan will reach Islamabad after taking part in negotiations with IMF ofPicials in Dubai.

Member FBR Strategic Planning and Reforms and spokesperson of FBR Dr. Mohammad Iqbal is also accompanying him.

Sources told Customs Today, that during his talks with IMF ofPicials he apprised them about different measures which the government is taking to enhance tax net. Sources said that chairman FBR assured IMF ofPicials that the FBR will dePinitely achieve its revenue target during the current Piscal year. He said the government has adopted strict rules to bring those wealthy people under tax net who are avoiding to pay tax.

Sources said that Member Strategic Planning Dr Iqbal also apprised IMF ofPicials about different strategies which FBR is adopting to expand tax net. Meanwhile, The Federal Board of Revenue (FBR) is seriously considering a proposal to exempt salary accounts from withholding tax.

This concession will be granted to those with salary accounts in banks.

Sources of in FBR told Customs Today that a number of complaints were being received by FBR that banks are deducting income tax from their

customs court imposes penalty of rs 200,000 on currency smuggler

salaries despite their names are already in the list of active taxpayers.

Banks were demanding to all these persons to bring “exemption certiPicate” from FBR. Now a proposal is forwarded to FBR, saying that WHT is

levied on banking transactions so salaried persons cannot afford such a tax. These employees forwarded their appeals to FBR Chairman Nisar Mohammad Khan to announce exemption of WHT on their salary accounts.

Sources said that FBR authorities are seriously considering such a proposal to grant exemption of withholding tax on salary accounts. An ofPicial announcement is expected in near future in this regard.

faisalabad ASo confiscates smuggled items worth rs 6.41m FAISALABAD

NAeeM SHeIkH

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he Anti-Smuggling Organization (ASO) has conducted various operations against smugglers and seized miscellaneous goods worth Rs 6.41 million.

Sources told Customs Today that collector Faisalabad Dr ZulPiqar Ali

Chaudhary received information about different smuggling attempts.

After which he constituted an ASO team headed by deputy collector Falik Shair Ali and Muhammad Javed Mehmood (superintendent), Sardar Muhammad (deputy superintendent ), Masood Saeed Chohan, Abdul Jabbar (inspector), Muhammad Ashraf, Liaquat Ali, Israr Ahmad and Muhammad Abdullah (sepoys).

The ASO team seized smuggled cloth worth Rs 1.17 million while anti-smuggling organization also

conPiscated different type of three vehicles whichwere brought into the country without payment of custom duty and taxes worth Rs 1.3 million.

The ASO team asked owners of these seized items to produce legal documents regarding possesion of these items but they failed to provide the same. The ASO team arrested the accused persons involved in smuggling and registered separate cases against them.

Meanwhile, Faisalabad ASO has conPiscated 192 Rolls of imported

cloth, Cigarettes and Baby shoes made in China worth Rs 5.6 million.

The Anti Smuggling Organization (ASO) Faisalabad has conducted crackdown against smugglers and conPiscated contraband items including imported cigarettes in different brands 820 Box 164000 cigarettes Baolilai Butane gas products rePill 72 pieces imported gas lighters ( Tab HSM and BJ-702 ) 1980 pieces imported Cigarette Pilter ( Vesta Bio pipe ) 60 packets 420 pieces F/O Ligua cherry for all e-Smoking 4 pieces im-

ported Gutkha pan parag 10 packets Foreign origin cloth ( velvet checks base fabric ) ladies suiting fabric 192 Rolls 1977.5 kilograms Baby shoes ( for boys and grill in different brands and styles ) 1722 pairs all that items were made in China.The total worth of seized items was worth Rs 5.6 million. The ASO team following directions Dr Zulafqar Ali Choudhary conducted raid to curb the smuggling in the region. Sources told Customs Today that ASO team intercepted a truck bearing registration no. FDI-7121.

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ANF recovers 306kg drugs, arrests six accused ISLAMABAD: Anti-Narcotics Force (ANF) has recovered 306 kilograms of Drugs and arrested six accused including two ladies in five different raids in Rawalpindi and Peshawar. According to sources ANF team has recovered 272 kilograms of Hashish, 31 kilograms of Heroin and 3 kilograms of opium worth in millions rupees in international market. Sources also added that FIA team arrested two lady smugglers named Bano and Gulnaz while also arrested Usman Ali, Ehtesham, Mazhar and Nisar butt from Rawalpindi and Peshawar areas. Sources added that ANF team lodges FIR and registered drugs cases against all accused and has started further investigation.

IHc disposes of five petitions filed against rto authorities

Friday December 11, 2015

National

rs 2.323m tax evasion: pcA issues show-cause notice to Muller & phipps

ISLAMABAD

NAeeM uLLAH tArIQ www.customsbulletin.com

ustice Aamer Farooq of Islamabad High Court (IHC) on Wednesday disposed of five writ petitions filed against Regional Tax Office (RTO) authorities. A singe bench of the IHC, comprising of Justice Aamer, heard three writ petitions filed by Wateen Telecom Limited and two by Islamabad Electric Supply Company (IESCO). The bench disposed of the writ petitions with directions to the departments concerned to address and resolve the complaints filed against Inland Revenue officers. The court also directed the authorities to submit a reply in this regard as the matter is resolved.

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court extends judicial remand of suspected gold smuggler LAHORE

M IMrAN MeHAr

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assenger Rai Umar, travelling for Gulf state, was arrested by the Customs preventive authorities from Lahore Airport while trying to smuggle gold to Sharjah through a private airline. The Special Court of Customs Taxation and Anti-Smuggling now has extended the judicial remand of the suspect for 14 days.

As per details, Airport Security Force (ASF) had recovered 2.5 kilograms gold from the passenger’s luggage at Allama Iqbal International Airport Lahore during scanning. The ASF after initial interrogation handed him over to the Customs Department for further interrogation.

The customs team presented the accused before Customs Court, where Special Judge Chaudhary Ameer Muhammad Khan sent him on physical remand than on judicial too.

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KARACHI

AftAB cHANNA

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he Post Clearance Audit (PCA) has issued a showcause notice to M/s Muller and Phipps (Private) Limited for tax evasion of Rs 2.323 million by taking inadmissible benefits under SRO 1125(I)/2011.

According to reports, the PCA Karachi found that M/s Muller and Phipps imported consignments of Latex Surgical Gloves Powdered vide GD No KSCI-HC68655/24.5.2012 and had illegally availed benefits of concessionary rate of sales tax and income tax.

The sources said the concessions offered vide SRO 1125(I)/2011 dated 31.12.2011 are only admissible to manufacturers of goods covered in the five sectors only as highlighted in the conditions given in the said notification. Furthermore, the imported item Latex Surgical Gloves is a consumable item used for different general purposes like examination of patients by the doctors, dentists and by compounders in the hospitals.

Therefore, item is not covered under the description of Surgical Goods. The importers were required to pay sales tax at 17 percent and income tax at 5 percent instead of 1 percent. Moreover, it transpired that the status of M/s

Muller and Phipps Pvt Ltd is that of an importer, exporter, retailer and the concern was not registered as a manufacturer at the time of subject imports.

Hence, the Customs Adjudication-II issued a show cause notice to M/s Muller and Phipps Pvt under section 32(1)(2) and (3A) of the Customs Act, 1969, Sections 3(1), section 3, 6, & 7 read with section 34 of Sales Tax Act, 1990 and Income Tax Ordinance 2001

therefore, item is not covered under the description of Surgical goods. the importers were required to pay sales tax at 17 percent and income tax at 5 percent instead of 1 percent.

fBr moves Sc over release of seized goods ISLAMABAD

SHAHID MINHAS

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ederal Board of Revenue submitted an application in Supreme Court about release of seized goods.

According to details advocate Raja Muhammad Iqbal Piled the application in Supreme Court on be-

half of FBR chairman Nisar Mohammad Khan and DG customs valuation. In the application the applicants requested to Supreme Court of Pkaistan for urgent hearing of the

case about provisional release of imported goods under section 81 of the Customs Act 1969.

Moreover the applicants said in the application that division bench of Sindh High Court ordered the customs officials to release the imported goods detained due to dispute over valuation and ordered the customs officials to release the goods by themselves if the importer deposits the amount of difference between claimed value and assessed value.

punishable under clauses (1), (9) and 14 of Section 156 (1) of the Customs Act, 1969, punishable under Section 33(5) and section 7A of the Sales Tax Act 1990 read with chapter X of the Sales Tax Special procedure rules 2007 (special procedures for payment of sales tax by the importers) and punishable under the relevant provisions of Income Tax Ordinance 2001 asking the importer to justify their point of view at the earliest.

ASf foils bid to smuggle 100 tolas of gold, $40,000 ir port Security Force (ASF) has foiled an attempt of 100 tola gold smuggling and 40,000 dollars and arrested two women at Allama Iqbal International Airport.

According to details, the ANF has arrested two women namely Sadia and Rubina who were trying to smuggle 100 tola gold and 40 American dollars to UAE.

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Malik Muhammad elected new chairman of SIAL Friday, December 11, 2015

Business

SIALKOT: A Sialkot based leading exporter Malik Muhammad Ashraf was elected unopposed as chairman of Sialkot International Airport Limited (SIAL) during its annual elections held here. Another exporter Naeem Yousaf was also elected unopposed as vice chairman of SIAL. Meanwhile, President Sialkot Chamber of Commerce and Industry (SCCI) Maj (Rtd) Mansur Ahmed and SVP Muhammad Sarfraz Butt have greeted the newly office bearers of SIAL. On this occasion, the newly elected chairman SIAL Malik Muhammad Ashraf pledged to make all out sincere efforts to make the Sialkot International Airport as a model airport of Pakistan and Asia as well.

kSe-100 index rises by 192 points to close at 33212 KARACHI

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espite losing some early gains, the stocks remained bullish as the Karachi Stock Exchange benchmark KSE-100 index added 191.66 more points to take the tally to 33211.92 points level at closing on Thursday .

The market recorded the highest trading level of 33320.92 points and lowest level of 33020.26 points,

k-electric decreases power tariff by rs 2.8/unit

with the volume of 100,217,550

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ISLAMABAD

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he K-Electric has cut power tariff

by Rs 2.8 per unit for the month of December. A K-Electric spokesman said that the reduction is being carried out for fuel surcharge adjustment. He said the reduction in tariff is for fuel adjustment for month of August and September. However, the company will likely to increase electricity price because of fuel price adjustment for October 2015.

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he Federal Minister for Finance, Senator Mohammad Ishaq Dar chaired the Monetary and Fiscal Policies Coordination Board meeting here.

The Secretary Finance briefed the meeting that headline inPlation (CPI has been contained at 1.86% during Pirst Pive months of current

Piscal year as compared to 6.45% of the corresponding period last year.

Effective monetary policy along with better supply of commodities coupled with decline in international oil and commodities prices helped in containing the inPlation.

The current account dePicit has been narrowed to $ 532 million during four months of current Piscal year as compared to $ 1.8 billion in corresponding period last year.

The LSM has witnessed uptick in its growth during Pirst quarter of current Piscal year at 3.9% as compared to 2.6% last year on account of

ISLAMABAD

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better electricity generation and gas production. The remittances continued its upward growth at 5.2% during Pirst four months of current Piscal year. The foreign direct investment during Pirst quarter increased by 7.7% but in July-October it declined by 24% whereas the foreign public investment increased during the period helped in improving foreign investment by 18.5% over last year. The reserves as on 4th December 2015 was reported at above $ 20 billion. The FBR tax collection is showing improvement at 16.8% during July-Nov.

akistan Software Export Board (PSEB) has announced to provide six-month internship to as many as 3,000 IT graduates including 30 per cent female graduates every year. The volume of Prime Minister’s ICT internship programme has been enhanced and the interns will be placed at Information Technology (IT) companies, IT Departments of Telecom Sectors, Banks and other such organisations.

This would help IT graduates to develop skill set to increase their employability potentials. According to PSEB, its Board of Directors has accorded approval to provide internship to 3000 IT graduates. The 31st Board of Directors meeting was chaired by Minister of State for IT Anusha Rahman and attended by Secretary IT Azmat Ali Ranjha, PSEB Managing Director Asim Shahryar Hussain, Pakistan Telecommunication Authority (PTA) Chairman Dr Ismail Shah, Member Telecom Mudassar Hussain, Member HR/IT Tahir Mushtaq, @PASHA Chairman Syed Ahmad, and representatives from Trade Development Authority of Pakistan. The Board expressed its concerns on sales taxes being levied by provincial governments on IT companies.

nance Minister Ishaq Dar to meet the opposition leader and allay his fears over his plans to privatise Pakistan International airlines, a senior ofPicial told the Nation.

The government is concerned about the strength of opposition on the issue, in particular the series of walkouts in the National Assembly.

Opposition leaders have voiced their anger over minister’s failure to debate the issue in parliament and its insistence on carrying out

the reform through an ordinance instead. Leader of Opposition in the National Assembly Syed Khursheed Shah warned the government that they would block any attempt to sack any of the airline’s 18,000 employees and demanded that the Finance Minister safeguard all jobs.

PML (N) insiders said that Prime Minister was disturbed that the opposition parties had united over the issue and anxious to work out a new strategy to ease their fears.

Dar chairs Monetary and fiscal policies coordination Board meeting

KARACHI

cuStoMS BuLLetIN report

shares, having Rs7.02 billion value.

As many as 332 companies were active; of which 170 advanced, 148 declined and 14 remained unchanged.

Oil & gas marketing companies remained the highest traded sector with total volume of 28,696,850 shares, while commercial banks remained second traded sector with a total volume of 19,807,900 shares.

The three top traded companies were Sui North Gas with a volume of 16,640,000 and price per share of 43.98 (0.50), K-Electric Ltd with a volume 12,662,000 of price per share of 7.66 (0.10), Sui South Gas with a volume 10,540,500 of price per share of 30.72 (0.60).

3,000 It graduates to be given 6-month internship

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No pIA employee to lose job: pM ISLAMABAD

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o employee of Pakistan International Airlines will lose his/her job in the planned privatisation of Pakistan International Airlines, Prime Minister Nawaz Sharif pledged yesterday.

Finance Minister Ishaq Dar on behalf of the Prime Minister has given assurance to Leader of Oppo-

sition in National Assembly Syed Khursheed Shah and other heads of opposition parties that not even a single employee of the national Plag career would lose his/her job in the privatisation process.

Nawaz Sharif was briefed by Dar last morning amid continuing opposition’s protest to his plans to sell off the national Plag carrier and make it viable. The government plans to sell 26 per cent stake in PIA to meet the International Monetary

Fund’s conditions for a loan.

The Finance Minister briefed the Prime Minister on the new ordinance paving the way for the privatisation of PIA. The Prime Minister was informed about the salient features of the new PIA company law partnership, which included job protection of all employees, insulating PIA from bureaucratic control and to run it on an autonomous corporate model like OGDCL. The Prime Minister directed Fi-

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Friday, December 11, 2015

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ollectorate of Appeal Lahore Dr. Asif Jah Mehmood has disposed of 115 appeals involving revenue worth Rs 49 million out of 131 during the first five months of Financial Year 201516. According to details, the collectoarte opened balance with 50 appeals with the collectoarte involving revenue worth Rs 23.74 million revenue. The collectoarte received 81 appeals involving revenue worth Rs 34 billion during the current financial year. The total of 131 appeals involved revenue of Rs 57.76 million while the collectorate disposed of 115 case by the end of November and the remaining will be decided by the end of the December, Customs Today was informed. The 16 pending appeals with collectoarte involve revenue of Rs 8 million, it was said. The cases of appeals are mostly from the customs establishments in Lahore, Multan, Faisalabad and Symbriyal.

Meanwhile, Model Customs Collectorate (Appraisement) Lahore has

collected Rs 23869.81 millions against the set target of Rs 22063.87 millions during the month of November. According to details, Federal Board of Revenue (FBR) has assigned target of Rs 8095.97 millions in customs duty to model customs collectorate (appraisment) for the month of November, but the the collectorate collected Rs 7997.09 millions. Model customs collectorate collected Rs 2739.29 million under the head of income tax against the target of Rs 1950.38 million. Department also collected Rs 92.07 million under the head of federal excise duty against the set target of Rs 71.75 million.

459.76 million has collected agaisnt the target of 350 million at WeBoc(LDP), 376.08 million collected against the targetof 143.64 million at customs fraight services (CFS), 538.50 million collected agaisnt 800 million at WeBoc (CFS), 131.24 million collected agaisnt 320.48 million at POL which is deficit as 59 million. 23.53 million has collected against 10.61 million at praime Nagar (WB), 61.43 million col-

lected against 25 million target at Praimer Nagar, 0.58 million collected at GPO against 1.78 million target.

During the month of November model customs collectorate collected Rs 2.36 million at Lahore Dry Port (LDP), Rs 29.19 million at WeBoc(LDP), Rs 31.10 million at customs fraight services (CFS), Rs 24.99 million in WeBoc (CFS), Rs 31.52 million in POL.

ails, the t e d o t ng Accordi arte opened collecto 50 appeals with balance collectoarte e with th venue worth g re involvin 74 million rs 23. e. revenu

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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

Investment in energy sector

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he chief of the Alternative Energy Development Board has claimed that renewable energy sector has received a huge investment of $3 billion during the last one year, showing that the climate is conducive for foreign investors in the country. Pakistan has been facing severe energy crisis for the last two decades and various efforts have been made to overcome the problem. The private sector has been allowed over the years to install power projects and various wind and solar energy projects are initiated to meet the growing demand of electricity in the country. However, in the absence of an effective check and balance, many projects proved to be utter failure, including Nandipur power project and Quaid-e-Azam Solar Park.

All the European countries, where sun is quite rarely seen, are shifting their focus on solar energy. Pakistan, on the other hand, is situated in the best location where sun shines with all its might all over the year and is potentially solar energy rich country. There is a need to tap this natural gift rather than taking cosmetic steps as we are in such a habit in this country.

The $3 billion is a lot of money if this investment is actually materialized as the government has disappointed the nation on many occasions in the past. For example, instead of mass import of voltaic cell from China, it would have been plausible to manufacture these kinds of cells in the country. Voltaic cells convert heat into the electricity and its technology is not a rocket science. Unfortunately, the commission mafia has got the manufacturing of this cell banned in Pakistan. Therefore, you have only one option left. Import it from China at any rate.The government should invite giant multinationals to set up their plants in Pakistan and this will not only bring investment, but also transfer of technology.

There is a need to make Pakistan a destination of choice for potential investors and the government steps should entail a series of concessions for the local and foreign investors. There is a vast potential in energy sector, but the government should have to introduce a lucrative tariff structures, a robust policy framework, and safeguards for investors’ money.

Improvement in business confidence A

LAHORE

Dr AftAB AfZAL

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ccording to a survey of the Business ConPidence Index, the overall business conPidence in the country has improved during the last eight months due to what is believed — improved security and a stable macroeconomic situation. The survey, sponsored by the Overseas Investors Chamber of Commerce and Industry, reveals that the conPidence of doing business of the overseas investors in the country has improved by four points during the last eight months. An improvement has been recorded in all sectors with 10 percent growth in retail sec-

tor which has jumped from 15 percent to 25 percent. The services and manufacturing sectors have shown an increase of three percent and two percent, respectively. Though the survey shows an increase in overall business sentiment over the last eight months, unfortunately, the conPidence level of major foreign investors have declined by seven percent apparently due to imposition of a new super tax and long delays in the tax refund claims.

The previous survey was conducted in April 2015 in which the overall business conPidence stood at positive 18 percent, showing a signiPicant improvement of 17 percent as compared to the survey conducted in September 2014 which was just 1 percent positive.

According to the OICCI chief, the government’s resolve to maintain law and order in Karachi and elsewhere in the country as well as steps to improve energy supply have pushed the graph of business conPidence upward. Besides, low inPlation, China-Pakistan Economic Corridor projects, and a stable political environment have also helped boost the business conPidence in the country. The survey depicts improved sentiments in manufacturing and services sectors from 31 percent to 34 percent and 11 percent to 13 percent, respectively, thanks to higher household spending as a result of lower inPlation. The survey points out increasing cost of production and shortage of energy as the biggest stumbling

blocks in the way of industrial growth. The security situation has remarkably improved, but still the government has to do more.

The real estate sector has emerged as one of the leading sectors in the country, showing an increase of 68 percent, followed by tobacco 38 percent, transport and communication by 37 percent, petroleum by 32 percent while chemicals and Pinance by 31 each.The textile showed bleak performance, ditched by negative 15 percent.

The government is still in the process of negotiation with traders on the issue of withholding tax on bank transactions. It is time to create opportunities to generate funds and not to create hurdles to lose the money potentially available in the national kitty.

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Russia increases oil exports to China, Asia MOSCOW: Russia this year has increased oil exports to China and Asia, even accepting payment in yuan, but the need to move to non-oil exports is great, experts in Moscow say.

Two weeks after saying that Russia’s economy had emerged from recession, Economic Development Minister Alexei Ulyukae is calling for the development of “non-oil exports” to offset the drastic drop in global energy prices. “Unfortunately, we have entered a rather long period, when commodity prices are not as high as over the last 10-15 years. This also applies to oil and gas, and metals,” he told reporters in remarks published by the Russian Tass news agency.

Global commodity prices fell to record levels in July and August following China’s devaluation of its yuan currency and waning confidence in its manufacturing and industrial output.

pakistani businesswomen to participate in int’l trade exhibition in Sri Lanka delegation of Pakistani businesswomen is participating in an international trade exhibition being held in Sri Lanka next month.

The delegation of women entrepreneurs is participating in the event under the umbrella of Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and in collaboration with Trade Development Authority of Pakistan (TDAP). Talking to APP here, Karachi Women Chambers of Commerce and Industry (District East) President and Chairperson FPCCI Standing Committee on Women Handicrafts Syeda Saeeda Bano said these women would exhibit different women-made

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products like handicrafts, shoes, jewellery, garments, marble, Abaya and applique work. She said Pakistani women entrepreneurs had already participated in international trade exhibitions held in different countries including Bahrain, Malaysia and India and within the country. They had received very good response, which has encouraged many other women to come ahead. The chamber has received a good order from Indonesia for Susi cloth, she said. She said the women entrepreneurs were participating in the ongoing SAARC Expo in Lahore and had set- up 12 stalls displaying many products. “Our focus is to promote cultural and traditional items through value-addition,” she said. The WCCI Karachi (East) president appealed to the Sindh government to provide more facilities and incentives to businesswomen including offices for women chambers of commerce and industry, and for display centres. —CB Report

Friday December 11, 2015

Chambers

fccI urges govt to adopt independent economic policies P

FAISALBAD

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akistan is unable to formulate independent economic policies as long as it is in the shackles of International Monitory Fund (IMF), said Mian Muhammad Adrees, president Federation of Pakistan Chambers of Commerce and Industry (FPCCI). He was addressing a meeting of United Business Group (UBG) at Faisalabad Chamber of Commerce and Industry (FCCI) here . It was also attended by vice president SAARC Chamber of Commerce Iftikhar Ali Malik and presidential candidate for FPCCI Abdur Rauf Alam.

He said that Finance Minister is going to negotiate with IMF and hopefully a clear cut policy on 0.3% (With Holding Tax) WHT on banking transactions will be communicated up to December 12, 2015.

Mian Adrees said that he had tried its best to institutionalize FPCCI as he had earlier transformed FCCI. “No doubt our journey is long, yet he has successfully put the FPCCI on the right track and now this institution will provide impartial and professional services to all the busi-

nessmen irrespective of their party or group afPiliation. He said that the previous regime had recruited incompetent persons due to which this apex institution was unable to serve the business community.

He said that he has tried to run the affairs of FPCCI in consultation

with all elected representatives and it was only due to our unity that Prime Minister has entrusted us task to formulate budget and economic policies. “We are also being consulted to Pinalize the list of foreign trade delegations”, he added.

He further told that just few days

Manhattan Chamber chief to leave her post in Feb

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NEW YORK

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ancy Ploeger, who has led the Manhattan Chamber of Commerce for decades, announced Friday that she will leave her post at the end of February.

Ploeger, 65, is departing to take the reins of a global foundation aimed at supporting women in business that she and the chamber helped to found.

“I like building things,” Ploeger said in an interview. “That’s my M.O. I like to go in where it’s small.”

Under Ploeger, the Manhattan Chamber of Commerce grew from a few hundred businesses to a $1 million organization with more than 10,000 members. Before joining the chamber 21 years ago, she helped create the New York Sports Club empire. The chamber will now start a

search for a new president. Ploeger said her successor faces the challenge of promoting small business in the city “to keep the variety and continue to have neighborhoods with fabrics, not just chains one after the other.” According to a job description Ploeger emailed to her staff, applications for the post are due Dec. 31. She encouraged “everyone and their mother who has an interest in small business” to apply.

Meanwhile, The Woodstock Chamber of Commerce has sold its building and will be moving into City Hall at the start of the New Year.

Kathryn Loprino, president of the Chamber’s board of directors, said the move is a “huge relief” for the chamber. “It’ll just allow us to focus on membership and programs we can offer for them and not have the stressors of property maintenance or building maintenance going on,” Loprino said.

She said the move also will give the Chamber an opportunity to rebrand and rebuild.

The Chamber has gone through a few transitions in leadership this year, and Chamber member Danielle Gulli is the current volunteer interim executive director.

The Chamber will be partnering with Read Between the Lynes to offer a visitor center in the bookstore’s new location, 111 E. Van Buren St., so tourist information can be provided on the Square, Loprino said. “The Chamber is still accessible, it’s just not visibly on the Square anymore,” Loprino said.

She said the chamber has been at 136 Cass St. at least since she became a member in 2003.

Woodstock City Manager Roscoe Stelford said the chamber will be moving to the basement of the city hall, which currently is used for storage.

ago, a circular was issued requesting Federation to advise Government about the re-payment mode of refund claims. He said that this mechanism was worked out and has been communicated to the government and hopefully it will give positive results to the Government as well as business community.

He said that last year few chambers opposed our candidates but this year they have changed their mind only because of our impartial services to the business community.

He said that in 2014, UBG emerged victorious with the percentage of 60:40 but this year we will make a clean sweep with the percentage of 80:20. He said that our Federation President will have more powers as situation in Federation has now improved considerably. Mian Adrees said that he belongs to Faisalabad and he has tried to serve the business community honestly and devotedly. He said that no one can level any allegation of corruption against him as he has not gained any perks but instead have spent Rs 8 million from his own pocket for the refurbishment of Ghafoor Bashir Auditorium in FPCCI.

taranaki chamber elects new chief aranaki Chamber of Commerce’s new chairperson Sophie Braggins is up for the challenge.

The Taranaki Chamber of Commerce has announced its new chairperson as Macfarlanes Assist managing director Sophie Braggins.

The 32-year-old has taken on the role after being on the board for just shy of a year and said she was aware of the challenges that came with it.

“I’m there to help offer a level of leadership, guidance and help facilitate decision making,” Braggins said.

She is replacing outgoing chairperson Arun Chaudhari, who had resigned the position after around six months as his business interests were taking him to Timaru.

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China foreign trade falls for 9th straight month Friday December 11, 2015

World

BEIJING: China has logged another month of weak trade, according to the latest data for November. The country’s major trading partners were hoping Chinese exports might level out in Q4, but they look set for disappointment. Chinese exports fell 6.8 percent in November from a year ago, customs data showed Tuesday. The fresh figures marked the fifth straight month of decline, casting doubts on earlier hopes that the Asian nation might level off in the fourth quarter of 2015.

Imports tumbled 8.7 percent in November, the 13th monthly drop in a row. The decrease came despite a surge in imported copper, iron ore, crude oil and coal.

Analysts said buyers likely took advantage of a fresh slump in commodity prices.

customs fines Mop5,000 for smuggling tobacco

pulkovo customs seizes smuggled iphones, ipads MOSCOW

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BEIJING

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Macau resident has been discovered by the Customs Service (SA) carrying an amount of cigarettes far exceeding the legal allowance into the territory. On September 17, the man was intercepted at the Gongbei Border in possession of six packages totaling 1,200 cigarettes.

The merchandise was immediately conPiscated and the Service penalized the resident with an accessory Pine of MOP5,000.

The person claimed that the goods were for personal use, and that they had been purchased in duty free shops in Gongbei. The man said he was unaware that the importation of the cigarettes in question was subject to restrictions and import licenses.

According to the SA investigation,

kuwait customs collects 5% handling fee he Customs General Department began collecting five percent of the handling fees starting from November 10, 2015, equaling to around KD 500,000 per year, after the company investing in customs services has not been paying for a while.

Director General of Customs Khalid AlSaif said the administration succeeded in reaching an agreement with the investing company, Global, to pay five percent of what it collects for handling. Saif said it was agreed to upgrade all inspection systems of trucks and containers, and there will be six systems established at a total value of KD 18 million, in addition to upgrading other systems to check persons, luggage, radioactive, biological and chemical material, and other systems to discover banned substances and drugs.—CB Report

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the goods seized and found were likely destined to be sold in Macau with a proPit margin of 30 percent.

DissatisPied with the decision of the SA, the resident appealed, claiming to be unemployed and receiving only a monthly subsidy from the Social Welfare Bureau (IAS) of MOP1,500. The case reached its Pi-

nal stage with the Administrative Court (TA) rejecting the claims from the applicant and upholding the decision of the SA director. The court noted that it considered the initial decision to be appropriate and reasonable, as the customs authorities had, in fact, only applied the minimum legal penalty.

oregon agents arrest 2 Malaysians for smuggling

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ederal agents arrested two Malaysian nationals in Portland on accusations they smuggled orangutan skulls and parts of other wildlife into the U.S. Authorities say the two were arrested Friday shortly after arriving in Oregon to meet an associate. The criminal complaint says they own an online business that has been smuggling endangered wildlife into the U.S. since 2004.

The investigation began a couple

years ago when authorities found a helmeted hornbill mandible while searching an international package headed to Forest Grove, Oregon. Undercover agents then purchased three orangutan skulls, four helmeted hornbill skulls, a wild pig skull and other parts.

The two face charges of illegally importing wildlife into the U.S., which carries a maximum penalty of 20 years in federal prison and a $250,000 Pine.—CB Report

aw enforcement agencies in St. Petersburg have seized a large batch of smuggled cargo from China containing 50,000 Apple and Lenovo telephones and tablet computers, a source close to investigators told Interfax on Dec. 4.

The source said the operation to locate and seize the smuggled goods was conducted by ofPicials from Department K of the Russian Federal Security Service and Pulkovo customs. According to the source, the plane that arrived at Pulkovo airport from China was carrying containers whose content was declared as plastic souvenirs. In reality, the containers contained almost 35,000 expensive iPhone 6s and iPads, and also 15,000 Lenovo A560 mobile phones.

The value of the seized commodities is estimated at several billion rubles.

“Four premises used by one and the same company have now been examined. One of the co-founders of the company is a citizen of Turkey.

His Russian partner hid immediately after the cargo was seized and, according to operative information, is now in the Baltic states,” the source said. He said a criminal case had been opened on the basis of the results of the pre-investigative actions on the basis of the article dealing with “massive evasion of customs payments levied on organizations or private individuals.”

Meanwhile, Russia’s Federal Security Service has seized 20 tons of black market smartphones at the Pulkovo Airport in St Petersburg— an amount retailers said represented up to 30 percent of the city’s total smartphone sales in December, the Vedomosti newspaper reported Friday. The cargo including 15,000 Lenovo A560 phones and 35,000 of Apple’s iPhones and iPads — had arrived in Pulkovo from Beijing; the packages were addressed to a St.

Australia: NSw police seize ice after raiding unit in Sydney

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SW police have seized a large quantity of the drug ice from a unit on Sydney’s north west.

OfPicers were executing a search warrant at the unit in Meriton Street, Gladesville, when they uncovered “many kilograms” of methylamphetamine – also known as ice.

Earlier police arrested a man 31year-old man in Artarmon before heading to the Gladesville Plat. Police have established a crime scene at the property and both the police Chemical Operations Team and Fire and Rescue NSW HAZMAT ofPicers

are checking the unit. Investigations into the drug haul are continuing, anyone with information is urged to come forward. (Supplied) Investigations into the drug haul are continuing, anyone with information is urged to come forward. (Supplied) A number of items used in the alleged manufacture of the drugs have also been seized and will undergo forensic examinations. OfPicers from Ryde Local Area Command have been investigating the supply of ice around the inner west and north shore areas since November.—CB Report

uS border agents seize weapons in Arizona

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ucson Sector Border Patrol agents seized two weapons during separate smuggling attempts at checkpoints in southern Arizona. Agents operating the I-19 checkpoint near Amado, Arizona, were questioning the driver and

passenger of a four-door sedan when suspicious activity prompted further investigation. During a secondary inspection, agents discovered two Mexican nationals locked inside the vehicle’s trunk. A medical evaluation of the subjects was conducted and Agents found them to be in good health. Agents also discovered a 9 mm handgun and two loaded magazines in the vehicle.

Agents arrested all occupants of the vehicle and transported them to the Nogales Border Patrol Station. Less than an hour later at the Interstate 90 checkpoint, agents searched a Ford Mustang after a Border Patrol canine team alerted to the vehicle.

Inside the vehicle, the team discovered 27 bricks of marijuana, worth approximately $15,000, and a .40caliber handgun. Agents arrested

the driver and transported the contraband to the Willcox Border Patrol Station for further processing.

Meanwhile, Customs and Border Protection ofPicers arrested two U.S. citizens and a Mexican national allegedly involved in separate weekend smuggling attempts at the Port of Nogales, resulting in the seizure of nearly 63 pounds of heroin, cocaine and methamphetamine.

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Government setting up 30 water ports on the Ganga VIJAYAWADA: Government is setting up 30 water ports on the Ganga as inland waterways will be a “game- changer” for increasing exports and reducing cost of goods as well as passenger traffic, Union Minister Nitin Gadkari said today.

“National highway is very important. But waterways are most important. In China 47 per cent of goods and passenger traffic is on water. In Korea and Japan, 43 and 44 per cent of goods and passenger traffic is on water. In European countries…40 per cent of goods and passenger traffic is on water. In India, it is only 3.5 per cent,” he said.

The cost of travelling by water is substantially less compared to travelling by road or train, said the Minister of Road Transport and Highways.

India’s Adani group now the nation’s largest private port operator ndia’s Adani Group, now the nation’s largest private port operator, has eyes on making overseas terminal acquisitions. The company held a groundbreaking ceremony yesterday for its long awaited Vizhinjam transhipment terminal in the south of India. Karan Adani said the company was looking to invest in ports in four nearby countries as well as three more on home soil to add to the nine it has already bought into. “We have three missing pieces left Maharashtra, Karnataka and Andhra Pradesh,” said Adani, 27, executive director of Adani Ports and Special Economic Zone (APSEZ) in Thiruvananthapuram, the Kerala state capital. “We are actively scouting, greenfield and brownfield sites.” He added: “We’ll look to go international. We are actively looking at Myanmar, Bangladesh, East Africa, Southeast Asia. Our strategy would be to look at Bay of Bengal. Ports in Bangladesh, Myanmar, Southeast Asia, in countries like Malaysia or Indonesia, where there is a scope to have a tieup with ports in India.”—CB Report

Ports & Shipping

cargo from turkish ships blocked at russian Black Sea port

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coal stocks at key Indian ports rise 2.4% in December oal stocks at 17 major Indian ports totaled 12.57 million mt as of December 4, up 2.4% week on week, data released by Indian shipbroker Interocean on Friday showed. The stockpile comprised 10.29 million mt of thermal coal, up 1.7% from 10.12 million mt the previous week; and 2.10 million mt of coking coal, marginally down 0.2% over the same period from 2.11 million mt, the data showed. Anthracite stocks jumped almost 10 times to 32,000 mt from 3,000 mt last week while petcoke stocks rose to 140,746 mt from 10,000 mt during the same period. Paradip on India’s east coast had the highest coal stocks at 1.95 million mt, down 1.3% from 1.98 million mt the previous week.—CB Report

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LONDON

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urkey released three of four Russian ships that it detained this month at a Black Sea port for maritime safety violations, according to data on the website of Port State Control for the Black Sea. The action at the port of Samsun came after Russia held Pive Turkish ships for port inspections at

Novorossiysk, according to two port ofPicials who requested anonymity because they weren’t authorized to speak to the media. All the vessels have been released by the Russians.

Three of four Russian ships departed Samsun on Friday after making repairs to Pire hoses, lifeguard boats or radios cited and violations by inspectors, the ofPicials said. One remaining Russian ship may leave Monday. Relations between the countries have deteriorated since Nov. 24, when a Russian warplane Plying missions over Syria was shot down by Turkey because the gov-

ernment in Ankara said the jet violated its airspace. Russia denies that the jet had ever crossed the border.

Russian President Vladimir Putin called the incident “a stab in the back” and reiterated on Thursday that Turkish ofPicials “will regret again and again what they’ve done.”

Last week Russia blocked Turkish goods from nectarines to shallots.

Turkish maritime officials started inspecting all Russian ships arriving in Turkey in response to similar move by Russia following the downing of Russian jet, according to the officials.

Friday December 11, 2015

worldwide server shipments in Q3 grew 9.2% YoY orldwide server shipments in the third quarter grew 9.2% year-over-year, while vendor revenue increased 7.5%, according to Gartner. “The third quarter of 2015 produced growth on a global level with mixed results by region,” said Jeffrey Hewitt, research vice VP at Gartner. “All regions showed growth in both shipments and vendor revenue, except for Eastern Europe, Japan and Latin America. Currency exchange rates are one of the main reasons for the disparity in regional server market performance.” Asia Pacific grew the most in shipments, with a 24% increase. The region also posted the highest vendor revenue growth at 25%. HP continued to lead the worldwide server market based on revenue.

The company posted just over $3.7 billion in server vendor revenue for a total market share of 27%. All of the top five global vendors had revenue increases, except for IBM with a decline of 43%.

IBM’s decline is due primarily to its sale of its x86 server business to Lenovo. Beyond that, IBM’s server revenue fell 3% for the RISC segment, but grew 15% for mainframes to post a 5% total growth for the server businesses that it retained. In server shipments, HP remained the worldwide leader a shipment increase of 8%. HP’s worldwide server shipment market share was 22%, virtually the same share as in the third quarter of 2014.

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Backlog of tankers building at Venezuela ports

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MEXICO

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he backlog of tankers waiting to unload crude and products around Venezuela is growing larger, Reuters reports.

As of December 2, data from the news service showed around 18 vessels anchored around Venezuela and Curacao, while another 45 vessels were heading towards the Caribbean or waiting to load crude or products at state-run PDVSA’s

terminals. Some 12 tankers were said to be waiting to unload in the previous week, with around 50 preparing to load.

Reuters cited reports from traders saying that “unpaid cargoes have been swirling around Venezuelan ports since November.”

Indeed, one tanker, Maran Pythia, was said to have still been waiting after 27 days to discharge its 935,000 barrel cargo. “PDVSA has paid some providers, tanker owners and brokers, but the company still has many pending debts,” a

shipper said to be waiting for payment was quoted as saying.

However PDVSA told Reuters that exports, imports, and port activity were “completely normal.”

Last month, Ship & Bunker reported that the current glut of oil was causing a gridlock of tanker trafPic globally. Meanwhile, Gina Rinehart’s much anticipated Pirst shipment from the Roy Hill iron ore project is facing a new round of delays with the company deferring today’s planned departure from Port Hedland.

Roy Hill had planned a midmorning ceremony to mark the Pirst-ore-on-ship (FOOS). The FOOS milestone has been used as a highproPile end-of-project construction celebration by JUPilbara iron ore miners Fortescue Metals Group, Atlas Iron and BC Iron.

However, a statement yesterday from Roy Hill, which is 70 per cent owned by Mrs Rinehart’s Hancock Prospecting, said the FOOS milestone had to be postponed because of delays to the sending-off of iron ore ship, the Anangel Explorer.

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Sialkot ASO seizes black tea worth Rs 100,000 SIALKOT: The Anti-Smuggling Organization ( ASO) has seized black tea worth Rs 100,000. Sources told Customs Today that Model Customs Collector Ahmed Reza Khan received a credible information regarding smuggling of black tea. After receiving the information, Collector Ahmed Reza Khan constituted a raiding team comprising Muhammad Erfan (deputy superintendent), Mehmood Mansha (inspector) and others. The customs team conducted a raid on GT Road and seized black tea.

Friday, December 11, 2015

CUSTOMS BULLETIN

customs foils bid to re-export smuggled items worth rs 272.82m: Zahid khokhar KARACHI AftAB cHANNA

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n a fresh drive against smuggling, the Model Customs Collectorate of Preventive has busted a network of cartels involved in the smuggling of contraband goods, including mobile phones, perfumes, LED TV, refrigerant gas etc, stated Chief Collector Enforcement South Zahid Khokhar.

The chief collector was addressing a press conference at East Wharf KPT on Tuesday. Collector MCC Preventive Syed Tariq Huda, Additional Collector Khalid Hussain Jamali and Assistant Collector Headquarters Syed Muhammad Raza Naqvi were also present on the occasion.

Zahid Khokhar said the MCC seized goods worth Rs 304 million in October, which is the biggest haul in the history of MCC Preventive Custom House Karachi. The mafia was involved in replacement of transshipment goods of high slab duty with low slab duty en-route to upcountry destination by way tampering Customs container security seals. During the course of investigation in the biggest ever seizure, it emerged that the same

mafia was trying to re-export a cargo due to fear of the Customs Department, he added. As a result, all the Collectorates were re-

quested to inform about the cargo containers pending for re-export.

As a consequence, a cargo container was located in the East

Wharf KPT, which was in the process of re-export on fake, forged and fabricated documents. The container was examined and huge

quantity of merchandised/contraband goods worth Rs 272.82 million were recovered, involving duty/taxes of Rs 154.92 million.

kp NAB Dg Shazad Saleem calls for across-the-board tax collection PESHAWAR

NADIr kHAN

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irector General, National Accountability Bureau (NAB) Khyber Pakhtunkhwa Shazad Saleem has said that if taxes are paid honestly in the country, there will be not need to seek loans from the World Bank or the International Monitory Fund. He was speaking on “Say No to Corruption” in a pro-

gramme at Ghulam Ishaq Khan Institute of Engineering Sciences and Technology organised by Character Building Society. Dr Inam, one of the pioneers of the Pakistan Institute of Engineering and Applied Sciences (PIEAS) Islamabad also graced the gathering. NAB chief claimed that Pakistan was not a poor country but the main reason of economic weakness was the failure of the government to cover taxes. He called for across the board collection of taxes. Quoting Malaysian leader Dr Mahtir Muhammad, he said,” Either you serve your own country or serve

yourself.” The problem is that in our country a number of people only focus on accumulation of wealth at the cost of the country and its masses, he said. In case of perfect collection of taxes we could gather much more then the present revenue but the problem was that NAB could not meddle in Federal Board of Revue (FBR) affairs and there is a big problem of tax avoiding practice, he said. “No doubt, avoiding taxes is a big issue and the NAB could not touch the FBR mechanism of taxes,” he said. In reply to a question, he said that NAB plays a vital role in

its own capacity. “We have delivered on one hand and keep a faultless check on corrupt practices in the country on the other,” he said. Answering another query, he said that they have some sort of mechanism to dig out Pakistani money shifted to the foreign banks. Elaborating further, he said that there are billion dollars in foreign banks. The educated youth should not move out from the country in search of jobs and comfortable/peaceful life, he said, adding that Pakistan has great potential to become vibrant economic power. Answer-

Published by M S Raza Off# 42, 3rd Flr Gull Plaza M.A Road Karachi, Printed by Dhoom Printing Building No RY/A, 11/6,11/7, Mashoor Mahal,off I.I. Chundrigar Road, Karachi

ing a question, he said that three things are extremely vital for eradication of corruption. “There is need of a strong well of political leadership for making determined efforts; masses complete and unbiased support and the role of judiciary is also very vital to discourage corrupt practices,” he said. If these three areas work in cohesion, making coordinated efforts then no one could devour the public money or sending it to the foreign banks as to deprive the country and its people from economic development and prosperity, he said.