Directorate General of Internal Audit (DGIA) has confirmed a massive outflow of black money amounting to around Rs 100 billion under the garb of gold exports; it was learnt here. Sources said that DGIA had detected substantial quantity of fake Form-E, which were used in transferring black money under the guise of gold exports.
In 2011-2013, unscrupulous elements misused the entrustment scheme and SRO 266(I)/2001 facility to get 80 percent tax exemptions in gold imports and then fake Form-E of gold exports were submitted for the purpose.
They said that it was learnt through a scrutiny of gold records of two years that gold amounting to Rs 92.66 billion (Rs 65.41 billion from Karachi, Rs 12.83 billion from Lahore and Rs 14.42 billion from Rawalpindi) was imported during the said period.
However, the figure of gold exports depicted a different picture as these elements against Rs 92.66 billion gold imports submitted fake Form-E worth Rs 170 billion.
Meanwhile, sources said that Form-E at that time submitted to customs department was declared bogus by the banks as no inflow of foreign exchange was witnessed against myriad quantity of gold exports during 2011-2013.
They said that DGIA in its report confirmed the massive outflow of black money during the said period.
Sources said that Directorate had earlier approached banks to verify the veracity of Form-E submitted against Rs 170 billion gold exports and added that exporters had submitted 3374 Form-E which were issued by some 17 financial institutions during the last two years.
They said banks had confirmed that no foreign exchange had been received against Form-E worth Rs 100 billion and declared all of them fake. Sources further replied that the case had been pursued for at least one year, but there was no major breakthrough yet.