The Pakistan Fruit and Vegetable Exporters, Importers and Merchant Association (PFVA), Sargodha Chamber of Commerce and Industry (SCCI) and other trade bodies have expressed serious concerns over ongoing investigation against certain exporters by Post Clearance Audit (PCA) office Lahore based on a fake/fabricated complaint. In this regard, the PFVA has written a letter to the FBR Member Customs and other relevant departments, raising basic question whether a fake/fabricated complaint can be used for investigation purposes.
The second query is that whether FBR can take action against any exporter on the basis of a fake complaint filed using fake letter head of any other department/association Whether laws allow Post Clearance Audit (PCA) office Lahore to conduct investigation on the basis of a fake/fabricated complaint? Whether a fake/fabricated complaint can be used for investigation purposes?
When contacted, exporter told Business Recorder that the said regional directorate of Lahore continues to investigate Duty and Tax Remission for Export Scheme (DTRE) related issues of exporters of a perishable item on basis of fake and fabricated complaint. FBR has not empowered Directorate Post Clearance Audit, Lahore to conduct the DTRE related audit for last five years, while the Board's was given direction that the competent authority has assigned an investigation into the pseudonym complaint received from All Pakistan Paper Merchant Association to this directorate, but didn't empower to call the five years record from exporters to conduct the DTRE related audit. Whereas the exporters have already been undergone the audit from concerned collectorate of customs within the right jurisdiction after expiry of every DTRE approval.
Exporters are surprised that PCA, Lahore is continue calling the said exporters for investigation audit on basis of that paper which has already been declared fake and fabricated and even that FIR has been launched against that anonymous person who used the letterhead of APPMA. The FBR had received a fake complaint of APPMA about kinnow exporters under DTRE scheme and FBR forward this to the Directorate of Post Clearance Audit, Lahore to investigate the pseudonym complaint. Whereas, the APPMA already disclaimed the false and fabricated complaint and also filed the FIR against unknown person for using their letterhead with the police station, Anarkali. Therefore, PCA, Lahore issued notices to certain exporters to call the DTRE audit related record for last years instead of investigate the facts of the complaint.
As far as concern of law/rules and regulations are existing about anonymous or pseudonym complaint in Pakistan, we found that there is no legal value of anonymous or pseudonym complaint. There are various legal references available about anonymous or pseudonym complaints. Section 11 of the Tribunal's Regulations also requires that a complaint be filed in writing and include, among other things, the complainant's name, address, telephone number, fax number, electronic mail address and signature (or the signature of an authorized representative). The Tribunal has dismissed several anonymous complaints because the complainants did not comply with these requirements.
The Federal Tax Ombudsman (FTO) rule-1(d) also didn't allow that complaints cannot be filed on matters which, anonymous or pseudonymous complaints. The FBR being a regulatory authority itself issued some specially the Circulars letter No 11 of 1986 dated 12.05.1986 and Circular No 17 of 1988 dated 22.12.1988 for anonymous or pseudonym complaint that It has been represented to the Board that Income-tax Officers initiate enquiries on the basis of anonymous/pseudonymous complaints. Such enquiries, besides causing harassment to tax-payers, also result in waste of time as no tangible benefit accrues to the revenue. Where the complainant is not known or traceable, the anonymous/pseudonymous complaint should not be entertained.
The Wafaqi Mohtasib (Investigation and Disposal of Complaints Regulations 2013 also clearly stated that, the investigation of a complaint shall, be closed when it is found that (w) the complaint is anonymous or pseudonymous.
The Federal Investigation Agency (FIA) INQUIRIES AND INVESTIGATIONS RULES, 2002 are also very much clear that "No action shall be taken on any anonymous or pseudonymous complaint. The Consumer Laws in Pakistan also not permit that the anonymous or pseudonymous complaints will not be accepted. The rules and instructions issued by the Services and General Administration Department, Provincial Governments in Pakistan for strict compliance also clear that Complaints received through anonymous or pseudonymous should be ignored.
The Lahore High Court, Lahore also cleared in their messages throughout the ruling, that, anonymous complaints shall not be entertained, in recent speech, Lahore High Court Chief Justice Syed Mansoor Ali Shah says no inquiry will be held against any judge on anonymous complaints.
No action should be taken on anonymous or pseudonymous complaints in line with rules and regulations prevailing in Pakistan, which are very much clear that these type fake/fabricated complaints have no value and should not be entertained. The FBR also acknowledged in various communications with other Govt. authorities that it is an imaginary story, while the PCA, Lahore don't have any logic to start investigation just based on frivolous and concocted information since the reply from All Pakistan Paper Merchant Association is self-explanatory very clearly stating that the complaint is false and fabricated and also filed the FIR against unknown person for using fake letterhead of their Association with the Police Station located in Anarkali, Lahore. There is no legal or logical reason to initiate investigation of exporters on such baseless complaint which itself declared fake and fabricated.
Exporters are very much clear that the genesis of the whole matter lies in the anonymous complaint, and there is just mudslinging the exporters or to discourage the business activities. All exporters mentioned in the false/fabricated complaint have been exporting fruits and vegetables to various countries for many years under DTRE scheme and the audit as per the DTRE Rules referred in SRO-450/(I)/2001 dated 18.06.2001 has regularly been conducted by the competent authority having jurisdiction over the matter. That the records of the exporters have regularly been examined and there had been no contravention reported, hence the issuance of the notice for production of record is illegal. In addition to this, the Collectorate of Customs, Faisalabad have already been thresh out the same issue few months back including the surprise physical visits of the exporters manufacturing premises and accordingly sent a satisfactory report to FBR.
FBR is not realising at all the existing economic scenario in the importing countries, at where foreign remittances continued to be required, PCA, Lahore is compelling exporters through notices to bring five years record and seems like adjudication court is causing problems for the exporters which should immediately be wind up as exporters are respectable citizens of the country who not only earn foreign exchange for the country but also give taxes to the national kitty.
Exporters Associations, SCCI, TDAP and other trade bodies are approached Finance Minister, Ministry of Commerce and FBR to stop this type of harassment and issue directives to PCA, Lahore to stop issuing the un-necessary notices to exporters, as this would not only hurt exports, but discourage business activities in the country and this may create more degeneration, meanness and abased situation. The exporters have much confidence that Finance Minister and FBR will directions to stop this type of irrational and unlawful practice.