At an NBR press briefing today (18 October), CIID Additional Director Rezvi Ahmed said the company imported 37.08 tonnes of raw materials from China and India, worth around Tk2.03 crore, through three bills of entry.
Rezvi Ahmed, additional director of the Customs Intelligence and Investigation Directorate, speaks at a press briefing at the National Board of Revenue headquarters in Dhaka on 18 October about alleged Tk13 crore tax evasion by Williams Sweaters Ltd. Photo: NBR
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Rezvi Ahmed, additional director of the Customs Intelligence and Investigation Directorate, speaks at a press briefing at the National Board of Revenue headquarters in Dhaka on 18 October about alleged Tk13 crore tax evasion by Williams Sweaters Ltd. Photo: NBR
The Customs Intelligence and Investigation Directorate (CIID) has uncovered alleged evasion of Tk13 crore in customs duties and taxes by Williams Sweaters Ltd through the alleged misuse of bonded warehouse facilities and duty concessions on capital machinery imports.
Of the amount, Tk1.34 crore in duties and taxes was allegedly evaded through irregularities involving raw materials imported under bonded warehouse and Free of Cost (FOC) facilities, while Tk11.56 crore was allegedly evaded through machinery imports under a reduced duty benefit.
At a press briefing at the National Board of Revenue (NBR) headquarters in Dhaka’s Agargaon today (18 October), Rezvi Ahmed, additional director of the CIID, said the company had imported 37.08 tonnes of raw materials from China and India through three bills of entry, with an assessable value of around Tk2.03 crore.
He also said the company had imported 525 machines at a concessional customs duty rate of 1% under the capital machinery benefit.
However, investigators could not find the machinery during their inspection.
The alleged misuse of the concession resulted in an estimated revenue loss of Tk11.56 crore, he added.
The directorate’s investigation found significant irregularities in the use and storage of raw materials imported under bonded warehouse and FOC facilities, as well as in their use for export-oriented production.
The company has been accused of selling the imported raw materials in the local market instead of using them for the prescribed production and export activities.
During an on-site inspection, investigators could not find the company’s bond register at the inspection site. The company also allegedly failed to provide information on its imports and exports, while the actual whereabouts and use of the imported raw materials remained unclear, according to a CIID press release.
The directorate said the investigation was ongoing to establish the extent of the potential revenue loss and determine the next course of legal action.
It also said it was calculating the total amount of customs duties and taxes allegedly evaded by the company since 2014.
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