According to an investigative report by Daily Dunya, 347 bogus certificates were issued to evade tax on scrap metal, while several cheques were dishonored and 347 cheques were not found. The tax office commissioner and other officials will undergo an inquiry regarding the matter.
According to the report, the tax office commissioner, Special Assistant, Senior Editors, UDC, Clerk, and other officials were all involved as the Corporate Regional Tax Office Lahore issued fake exclusion/adjustment certificates. The treasury faced losses of millions of rupees.
Auditor General of Pakistan recommended the authorities to prepare a fact-finding report, which has been presented to the higher officials.
According to sources, the report states that between 2016 and 2019, 347 fake exclusions/adjustment certificates were issued in order to evade tax on scrap. No taxes were issued for 2 individuals in the steel re-rolling unit in Lahore, even though they were not registered as sales taxpayers.
The sales revenue team office in Lahore failed to submit the cheques to the finance division, hence it resulted in a loss of Rs. 817 million. UDC Mohammad Noman confirmed the fact that there was a loss of Rs. 817 million, mainly due to 42 cheques being dishonored.
The investigative report was prepared by a committee comprising of Chairman Asim Ahmed and members Ahmed Shuja Khan and Sadia Sadaf Gillani.
Cooperation Member Fouzia Adil announced that the discrepancies were found during an external audit, she said that 347 cheques from 39 different cases were not found.
Exclusion certificates were issued to 39 companies including Ajmer Steel, New Ghousia Steel, Rehman Steel, Malik Steel, Siddiq Iron Industry, Tanveer and Brothers, A.R Industry, Black Diamond Steel R.R Mills, Malik and Company, A One Steel Industry, King Steel Industry, Irfan Brothers, Kamalia Steel, Pak Steel Mills, Tariq Steel Furnace, City Steel Industry, Afaq and Danial, Power Steel Foundry, S.A Industry, Jamil Brothers, Hamza Steel, Rafiq Brothers, MashaAllah Steel, Hanif Steel R.R Mills, Usman Steel Casting, Asif Steel Industries, Hafeez Steel Industry, Sardar Steel, Maki Madni Steel R.R, Ashfaq Steel Mills, Mughal Steel Mills, Ammar Steel Industries, Afzal Steel R R Mills, Chenab Steel R. R Mills, Rehmat Steel, Pak Steel Industries, Malik Steel Center and M. R Traders.
Officials involved in the matter will be in line for an extensive inquiry and will suffer serious consequences if found guilty.
