Federal Board of Revenue (FBR) has reportedly unearthed a scam in Commerce Ministry regarding the acceptance of pre-shipment certificates of an unrecognised Dubai-based company issued on behalf of M/s Lloyd''s UK.
Well informed sources told Business Recorder, Abdul Majid Yousfani, Collector Customs Karachi has taken up the issue with the Commerce Ministry requesting that the recently issued letter for acceptance of pre-shipment certificate be reviewed.
Collector Custom, sources said, in his letter has stated that as per paragraph 9(ii) (5) of Import Order notified vide SRO 193(1) 2003 of March 8, 2013 construction companies are allowed to import transport equipment such as mobile transit mixture, concrete pumps, crane lorries, concrete placing trucks, dumpers designed for off highway use, cement bulkers and prime movers 380 HP and above, etc. However, import of such items is subject to certification by the competent authority of exporting country or a recognised pre-shipment inspection company that is listed to the effect that the (a) said machinery or transport equipment(s) is compliant with Euro-II emission standard and (b) is in good working condition and has a remaining productive life of five years. M/s Al-Habib Enterprises $ Engineering based in Quetta submitted PSI certificates of M/s Inchcape Shipping Services (Dubai) for import of dump trucks and transit mixtures for fulfilment of the notified conditions.
According to the letter written to the Commerce Ministry, Collector Customs said that in order to ascertain the authenticity of the PSI certificates, an email was sent on enquiries@ Lloyds.com to M/s Lloyd''s Agency, UK (enlisted in appendix-H of IPO) to confirm whether the PSI certificates issued by M/s Inchcape Shipping Services (Dubai) (claiming to be the agent of M/s Lloyd''s Agency in Dubai on behalf of M/s Lloyd''s Agency or otherwise). Mr David Lawrence, Controller of Agencies, Lloyd''s Agency Department, Lloyd''s, One Lime Street London vide his letter of December 14, 2015 has confirmed as follows " To clarify the position, Inchcape Shipping Services (Dubai) LLC are the appointed Lloyd''s agents in Dubai and Abu Dhabi. The Lloyd''s Agency network provides independent marine surveying and claims adjusting services to the global insurance industry and its customer. It should be stressed that each Lloyd''s Agent is an independent company. They do not issue reports on behalf of Lloyd''s".
David Lawrence further states "We understand that in this instance Inchcape Shipping Services (Dubai) LLC has issued a number of pre-shipment inspection certificates on used vehicles (trucks, concrete mixers etc.) being imported in to Pakistan".
Collector Customs further stated that in the light of this backdrop, the PSI certificates issued by M/s Inchcape Shipping Services (Dubai) are not acceptable as they are not a recognised pre-shipment inspection company as enlisted in the IPO. Since IPO was notified vide SRO 193(1)/ 2013 on March 8, 2013, therefore, inclusion of M/s Inchcape Shipping Services (Dubai) requires issuance of an amending SRO in this regard.
FBR has requested that Ministry of Commerce review the letter of January 14, 2016 regarding acceptance of PSI certificates of M/s Inchcape Shipping Services (Dubai) as a pre-shipment inspection company enlisted in the Import Policy Order.
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