However, the said company was not entitled for exemption under aforesaid SRO as its registration as manufacturer was suspended. Reacting on it, two consignments of polyester textured yarn and viscose filament twist yarn weighting 469213 kilograms imported by the said importer and cleared from MCC Appraisement East Karachi by availing exemption under SRO 1125(I)/2011 was confiscated by the Directorate after clearance from port area.
During scrutiny, it was revealed that goods was wrongly cleared by availing benefits of SRO 1125(I)/2011 despite the fact that sales tax registration of the importer was already suspended over lack of manufacturing facilities and misappropriation of previously imported yarn which was not available at the premises from 2013.
The importer has deliberately concealed the fact on non-existent of manufacturing and suspension of registration while getting the goods cleared illegally, DI&I stated in an FIR. Furthermore, the previous import data of M/s Saba International has also been scrutinised in the backdrop of the suspension of importer's sales tax registration since 2013.
It has now transpired that since April 2014, nearly 18428445 kilogram of said polyester worth Rs 2.998 billion was imported by the said importer through MCC Appraisement East, Karachi involving evasion of Rs 822.61 million in the shape of inadmissible sales tax and WHT exemption concession availed under SRO 1125(I)/2011. Further investigation was underway.