• To pursue fresh action if new evidence comes to light 
• Confirms that co. in question didn’t appear for inquiry   

The Department of Customs yesterday (12) denied allegations that the probes pertaining to the alleged duty fraud involving 1,728 Bayerische Motoren Werke AG (BMW) vehicles are being conducted in a ‘lethargic’ manner as alleged by certain civil society organisations (CSOs), stressing that the relevant inquiries are being conducted in the appropriate manner.

Commenting about the allegations that have been mounting during the past few weeks regarding the alleged duty fraud, the Customs Spokesperson Seevali Arukgoda told The Daily Morning that if new evidence comes to light during the inquiries, new action will be taken in addition to the action that has already been taken against the relevant parties (the imposition of a fine). The probes are being conducted by the Customs’ Central Investigation Directorate.

The case involves allegedly importing 1,728 BMW vehicles under concessionary duty permits, which are generally issued to public officials. Allegations surrounding the incident include that those vehicles were not imported and bought by the permit holders and that the vehicles had been considerably undervalued. Earlier, it was alleged that the Customs had ignored or suppressed the matter, which is said to involve a Rs. 16 billion duty fraud, causing a massive loss to the State coffers. Transparency-related concerns have also been raised by various parties regarding the matter.

This week, a CSO named the Citizens of the People’s Struggle, quoting the Customs’ Director General P.B.S.C. Nonis, claimed that the above-mentioned inquiries had to be postponed because a representative of the private firm in question did not take part in the inquiries. Arukgoda confirmed to the Daily Morning that as the reason.

Attempts to contact the company in question proved futile. 

The alleged duty fraud came to the spotlight again with the launch of a fresh Customs inquiry in accordance with the directives of the Court of Appeal following a previous probe. The aforesaid organisation claimed that while inquiries are in progress, Customs seem to be conducting them in a lethargic manner, which the organisation said would give the responsible parties an opportunity to evade the inquiries. The organisation said this week that it is planning to seek the intervention of the Commission to Investigate Allegations of Bribery or Corruption to take further action against those who are in possession of the vehicles in question, and of the higher authorities including the President, the Prime Minister, and the Auditor General to expedite the ongoing probes.