NBR moves to revoke Cotecna's licence
Wednesday, 2 January 2008
Doulot Akter Mala
The National Board of Revenue (NBR) has moved to revoke the licence of pre-shipment inspection (PSI) company, Cotecna, after it was found guilty of undervaluing prices of imported luxury vehicles.
"We have imposed fine on the company and a move has been taken to cancel its licence as the allegation against the company has been proved," the Board said in a 'summary' prepared for the chief adviser.
The move came after a government investigation found that the company undervalued six luxury Hummer cars last year. The NBR had penalised the company Tk 73. 91 million for the crime.
The NBR prepared the 'summary' following an order from the Chief Adviser's Office.
"The investigation committee found that the PSI company has quoted the value of a Hummer car at US$ 18,500 while its actual price was $ 35215," the board said in the summary.
The importer of the car evaded duty worth Tk 2.28 million with the issuance of a wrong clean report of finding (CRF) by Cotecna, it added.
The government appointed three pre-shipment inspection companies in 2000 in a bid to plug the holes on revenue losses in the port.
Cotecna joined the three in September, 2005 for a three-year term to inspect and find out whether any trader undervalued his imported items.
SGS (Bangladesh) Limited, Bureau Veritas BIVAC (Bangladesh) Limited, and Intertek Testing Limited are the remaining three PSI companies.
The board has also sought field-level opinions on performance of the existing PSI companies.
An NBR source said the role of PSI companies is now under scrutiny after the Cotecna affair.
He said the PSI system should not continue for long, but, in the present context, it is necessary because of lack of proper infrastructure facility and automation.
The National Board of Revenue (NBR) has moved to revoke the licence of pre-shipment inspection (PSI) company, Cotecna, after it was found guilty of undervaluing prices of imported luxury vehicles.
"We have imposed fine on the company and a move has been taken to cancel its licence as the allegation against the company has been proved," the Board said in a 'summary' prepared for the chief adviser.
The move came after a government investigation found that the company undervalued six luxury Hummer cars last year. The NBR had penalised the company Tk 73. 91 million for the crime.
The NBR prepared the 'summary' following an order from the Chief Adviser's Office.
"The investigation committee found that the PSI company has quoted the value of a Hummer car at US$ 18,500 while its actual price was $ 35215," the board said in the summary.
The importer of the car evaded duty worth Tk 2.28 million with the issuance of a wrong clean report of finding (CRF) by Cotecna, it added.
The government appointed three pre-shipment inspection companies in 2000 in a bid to plug the holes on revenue losses in the port.
Cotecna joined the three in September, 2005 for a three-year term to inspect and find out whether any trader undervalued his imported items.
SGS (Bangladesh) Limited, Bureau Veritas BIVAC (Bangladesh) Limited, and Intertek Testing Limited are the remaining three PSI companies.
The board has also sought field-level opinions on performance of the existing PSI companies.
An NBR source said the role of PSI companies is now under scrutiny after the Cotecna affair.
He said the PSI system should not continue for long, but, in the present context, it is necessary because of lack of proper infrastructure facility and automation.