Pakistan Customs: serious violations of rules & procedures in auctions detected

National Accountability Bureau (NAB) and Directorate of Internal Audit (customs) have detected serious violations of rules and procedures in Pakistan Customs' auctions. During scrutiny of records of payments of bid amount verified from auction bank account for year 2016-17, the Directorate found that Model Customs Collectorate (MCC), Preventive, collected cash in the auctions of high speed diesel, which the DIA customs termed a serious violation of auction rules and procedures.
The DIA customs said the officers of MCC, Preventive, Karachi, had collected Rs 13.83 million in cash during two auctions of high speed diesel consignments, last year. It further said that as per terms and condition of sealed bid offer, 25 per cent of the custom price should be submitted through pay order on or before the auction date and rest of the amount also have to be taken through pay order before the prescribed period but not in cash as done in these cases.
It said that on cross verification of the details of these two cases of high diesel consignments auctioned between January to April, last year, all payments were received in cash and none of the payments were found in the bank statement on the date of cash received as per bank stamp. Therefore, it has requested MCC, Preventive, Karachi, to look into the matter and furnish a detailed report regarding alleged sale of HSD without realization of bid amount Rs 13.833 million into national kitty.
Similarly, on the allegations of corruption and corrupt practices in auction, the NAB, Quetta, commenced a formal inquiry against the customs officers and officials posted in Customs Intelligence, Quetta. The NAB has asked the competent authority to submit complete details of government-approved auctioneer (s) for MCC, Quetta, and Directorate of Intelligence & Investigation, Quetta. It has further sought details of all auctions of Hino trucks with/ without body and chassis frames since 2013, especially, from Farooq Bonded Ware House along with the government policy regarding the seizure and auction of vehicles.