Off-the-book purchase of sugarcane: Cane Commissioner directs DC Faisalabad to initiate action

LAHORE: Cane Commissioner Punjab Muhammad Zaman Wattoo has requested the Deputy Commissioner Faisalabad to inspect the purchase centers procuring sugarcane from growers on off-the-book basis and take action against the violators of law.

According to a letter No. C.C.Admin (2)-08/2020, the Cane Commissioner wrote to the Deputy Commissioner Faisalabad who, according to the law, also holds the office of Additional Cane Commissioner, that he visited various purchase centers established by certain sugar mills in district Faisalabad. "No purchase centre was issuing Cane Purchase Receipts (CPRs). Apparently, the sugarcane was being purchased off-the-book. By purchasing sugarcane off-the-book, the mills are evading various taxes," the letter read.

The letter further states that while it was the policy of government to make arrangements for the purchase of sugarcane near the fields of growers and ensure at least the minimum support price announced by it, tax evasion, under the garb of purchase centres, cannot, at all, be allowed. For this purpose, issuance of CPR has been made mandatory through an amendment in Section 14 (ii) of the Punjab Sugar Factories (Control) Act 190.

Its violation is an offense under the amended section 21 of the Act ibid, the letter added. The Cane Commissioner requested the Deputy Commissioner to depute ex-officio inspectors, appointed under the Punjab Sugar Factories (Control) Act 190, to inspect the purchase centers and take legal action on any violation.

Copyright Business Recorder, 2020