The Federal Board of Revenue (FBR) has imposed penalties worth Rs2.7 billion on M/s Gerry’s Dnata (Pvt) Ltd after customs investigations uncovered a large-scale scheme involving the illegal clearance of imported electronic goods through manipulated cargo records and forged gate passes.
The case was investigated by the Collectorate of Customs (Airports), Karachi, which found that high-value consignments were removed from cargo sheds without filing Goods Declarations (GDs) or paying customs duties and taxes.
According to adjudication findings, the operation involved hiding airway bills, deleting cargo index records, and generating fake gate passes through Gerry’s Dnata’s internal computerized system. Investigators said the manipulation effectively removed consignments from the customs monitoring process.
Authorities have also ordered recovery of Rs221 million in unpaid duties and taxes.
The fraud surfaced after customs officials intercepted shipments containing expensive imported electronics, including iPhones, laptops, MacBooks, iPads, gaming consoles, tablets, and memory devices, allegedly being moved through forged documentation.
Subsequent investigations identified at least five additional consignments that had already been cleared using the same method. Officials said all shipments originated from UAE-based suppliers and were concealed from the WeBOC customs clearance system.
Customs authorities concluded that the irregularities reflected broader operational failures rather than isolated employee misconduct. The adjudication orders cited weak internal controls, non-compliance with record-keeping obligations, and obstruction during the investigation.
Officials said the company failed to provide CCTV footage and system logs required under the Customs Act despite repeated notices from investigators.
Eight individuals, including five employees of Gerry’s Dnata, were arrested during the investigation. Authorities recorded confessional statements from several suspects.
One employee reportedly admitted issuing fake gate passes under instructions from senior staff, while a cargo agent confessed to the existence of an organized network involved in manipulation of import records and illegal removal of cargo over an extended period.
Investigators also recovered counterfeit customs stamps allegedly used in the preparation of forged clearance documents.
