A major scam involving the illegal sale of around 350 high-end smuggled and non-duty-paid (NDP) vehicles has been uncovered, with customs officials allegedly marking these vehicles as “auctioned” in the WeBOC system to facilitate their release.

The Directorate General of Reforms & Automation (Customs), Karachi, exposed the scheme in a report submitted to the Customs Operations Wing (COW) on July 9. The report highlights data manipulation using the official login credentials of Assistant and Deputy Collectors, which enabled the fraudulent release of vehicles from customs premises without the payment of duties and taxes.

According to the findings, out of 1,900 vehicles reviewed, 350 luxury vehicles were never physically auctioned. Instead, fake bidder information was entered into the system to generate bogus auction records and issue customs documents required for vehicle registration. These documents were then used to register the vehicles with provincial excise departments, giving them a veneer of legitimacy.

The scam, which unfolded over several months, involved coordination between customs officials, car dealers, and influential individuals. Despite the scale of the operation, no vehicles have been seized so far due to the absence of a tracking mechanism and the vehicles’ legal registration status. To date, only one Deputy Collector has been suspended in connection with the case.

The Federal Board of Revenue (FBR) has yet to issue an official statement on the matter.