AGP Identifies Irregularities Worth Millions in Customs Collection and EPZA

The Auditor General of Pakistan (AGP) has identified irregularities in the collection of customs duty and the operations of Export Processing Zones Authority (EPZA).

The special audit reports for 2011-12 to 2013-14 have highlighted irregularities in the functioning of the EPZA that manages 10 processing zones for promoting exports and industrialization in the country.

AGP has reported irregularities of Rs. 319.14 million in the appointment, promotion, deputation, and re-employment in the EPZA. Another irregularity identified in the audit report is of Rs. 9.712 million in lieu of irregular payment of pay and allowance on fake or forged degree documents.

The report further pointed out a non-recovery worth Rs. 239.822 million under the head of security. Moreover, the authority has paid Rs. 21.92 million as Eid assistance.


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Other irregularities mentioned in the report include an undue award of contract valuing Rs. 1.61 million, an irregular sale of goods worth Rs. 153.78 million, and other financial irregularities of Rs. 12.529 million.

Another special report has pointed out irregularities regarding input-output ratios by the input-output coefficient organization.

The report mentions non-realization of the government revenue of Rs. 109.6 million due to unaccounted weight gains during the sizing process for manufacturing of grey cloth.

The authority lost Rs. 0.54 million because of the misuse of Duty and Tax Remission for Export (DTRE) facility. It incurred a loss of Rs. 176.47 million with respect to irregular import.

Unaccounted input goods resulted in the loss of Rs. 55.37 million and Rs. 76.65 million. Whereas, the grant of irregular benefit under the DTRE scheme caused a loss worth Rs. 14.63 million.

The report recommended that the Federal Board of Revenue (FBR) conduct an inquiry regarding the non-production of the record despite instructions of the board.

Via: Dawn



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