Company fined Rs2 million for smuggling cell phones


ISLAMABAD: The Collector, Customs Intelligence has imposed a penalty of Rs2 million to the foreign cellular phone company in the case smuggling of 78,160 phones sets.

Documents available with this reporter that collector Muhammad Arif Marghoob Siddique in its order stated that the charges levelled against M/s Digicom Trading (Pvt) Limited in the show cause notice, dated Dec 14, 201,7 stood established.

“A personal penalty of Rs2,000,000 is imposed on the importer, M/s Digicom Limited, for violation of provisions of law.” It may also be noted that the impugned goods will be released after the production of NOC and confirmation of IMEI numbers of mobile sets from Pakistan Telecommunication Authority (PTA).

The impugned goods are confiscated for violations of the provisions of Customs Act 1969 as mentioned in the show cause notice. However, an option is given to redeem the same under SRO 499(I)/2OO9 dated June 13, 2009 on payment of fine equal to 35 percent of the fair value of the goods to be ascertained by the MCC Appraisement (West) or Directorate General of Customs Valuation In addition to the payment of duties and taxes leviable thereon.

It may be noted that the matter of recovery of regulatory duty on the impugned goods, if any, shall be dealt with in terms of the judgment of Sindh High Court in CP No.7159 of 2017 dated Feb 2, 2018.

Earlier, the Directorate General of Intelligence & Investigation-FBR (Customs), Regional Office, Karachi received information from a credible source that a huge quantity of smuggled mobile phone sets cleared in the garb of LED lights stored in the posh locality of DHA, Karachi for disposal in the local market.

It was further disclosed by the source that M/s. Digicom, the sole distributors of ‘Q’ mobiles in Pakistan, were involved in smuggling of huge quantities cellular phones under the cover of LED lights which are normally cleared through Green Channel of Customs Computerized System.