Over Tk 1.5 crore in revenue evaded behind export declarations, customs finds in raids on two firms
Chattogram Custom House, ICD has found evidence of revenue evasion of more than Tk 1.5 crore through removing fabrics imported duty-free under bond facilities and sending ready-made garments outside export declarations.
In two separate raids, large quantities of undeclared garments were detected in the consignments of two exporting firms. The firms are Eagle Textiles of Savar, Dhaka, and Riaz Knitwear Limited.
The information was given in a press release of the National Board of Revenue (NBR) on Thursday (12 November).
The NBR said the amount of revenue evaded through the illegal removal of bond-facility fabrics by the two firms is more than Tk 1 crore 50 lakh. Customs also found that one firm evaded a further amount of about Tk 9 lakh.
According to the release, acting on secret information, a preventive team carried out two separate raids under the commissioner's direction.
At noon on 11 November, Eagle Textiles' export consignment was given a 100 percent physical examination at the off-dock of QNS Container Service Limited. The declaration mentioned 237 cartons of four types of garments — ladies' shirts, men's shirts, ladies' trousers and ladies' dresses. But the examination found 173,349 pieces of stock-lot garments of 14 types made of knit and denim fabrics. The goods were in 237 sacks, which did not match the export declaration.
Inconsistencies were also found in the fabric composition of the garments in the invoice issued by the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA). The revenue involved in the illegal removal of bond-facility fabrics is more than Tk 80 lakh. The VAT avoided at a rate of 7.5 percent on locally collected ready-made garments is about Tk 9 lakh.
Separately, at 3 pm on 28 October, Riaz Knitwear Limited's export consignment was given a 100 percent physical examination at the off-dock of Shafi Motors Limited. The firm's bill of export number is C-649046, filed on 27 October. Its declaration mentioned 687 cartons of one type of men's polo shirt. But the examination found 50 types of garments made of knit and denim fabrics, which did not match the declaration. Customs' preliminary calculation puts the revenue involved in the illegal removal of bond-facility fabrics at more than Tk 70 lakh.
The NBR said preparation of final reports and filing of cases in both incidents are under way. Whether raw materials imported under bond facilities were diverted instead of being used in the designated export-oriented production is being verified through the relevant documents and investigation.
