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Adjudicator Ahmed Raza declares Customs Preventive triumphant

Adjudicator Ahmed Raza declares Customs Preventive triumphant

M/s QMobile fine Rs5 m for illegal import

LAHORE: Customs Collectorate Preventive finally won case of confiscation of over Rs250 million mobiles phones against M/s Digicom Digicom Trading Private Limited (QMobile) at the level of Customs Adjudication. A penalty of Rs 5 million has been imposed on the company and order of confiscation of 26114 mobile cell phones was passed.

Collector Ahmed Raza issuing Order in Original (ONO) in favour of Customs Preventive in which it is stated that the respondents have on their own admitted that the seized quantity of 26114 mobile phones was mis-declared part of the GD consignment comprising four containers which contained mobile phones contrary to goods declared on GD i.e., LED Lights.

Precise facts of the case are that Collector Customs Preventive Faiz Ahmed received information that huge quantity of smuggled and non customs duty paid mobile phones were dumped at the premises M/s Digicom (QMobile) at Bahria Town, Lahore.

Therefore, Customs Preventive team on the instructions of additional collector and deputy collector warrant for search of the above mentioned premises was obtained from the concerned magistrate, Lahore u/s 162 of the Customs Act, 1969.

Accordingly, after completion of all legal formalities including entry in Sundar Police Station, the customs staff along with local police staff reached the above premises and recovered huge quantity of foreign origin mobile phones in the godown. The customs team seized the mobile along with security guard/chowkidar, were shifted to Customs House, Lahore for examination.

As such, confession by the respondents as to non-duty paid status of the mobile phones is on record, the adjudicating authority said, adding that for the remaining quantity of seized items, the respondents have not come up with any evidence of valid import whatsoever.

The respondents in their written reply to the show cause notice have requested for release of seized goods on payment of duty and taxes, the adjudication collector stated.

As a matter of fact, mobile phones are notified under section 2(s) of the Customs Act, 1969, he said that it is already admitted by the respondents that the seized goods are not duty paid and in their prayer in reply to show cause notice they have requested for release of goods against payment of duty and taxes.

Having considered all aspect of the case, this forum finds neither any valid justification, nor any plausible reason to believe that the seized goods were brought into the country through any authorized route, whatsoever, the collector observed.

The Collector Adjudication Ahmad Raza imposed a penalty of Rs. 5,000,000 on M/s Digicom (Pvt) Ltd, Rs 1,000,000 on Khawaja Fawad Farooq, and Rs100,000 on Naveed Abu Bakar and Faisal Zameer each.  Khawaja Fawad Farooq. The above said persons are employees of M/s Digicom.