ISLAMABAD: The Supreme Court (SC) on Thursday directed the Federal Board of Revenue (FBR), the top revenue collection body, to submit a report within two weeks on measures taken to recover money from individuals receiving undue tax refunds through fraud.
FBR Chairman Shabbar Zaidi told a two-member bench, headed by Justice Gulzar Ahmed, that the FBR had sent a summary to the Prime Minister’s Office (PMO) for approval in order to initiate an inquiry against three individuals who are suspected of creating fake companies.
The court directed Zaidi to submit an additional report of developments made in the case in two weeks’ time. To which, he sought more time to prepare the report and requested the bench for the same, but the appeal was turned down.
“This is a matter of Rs90 million,” remarked Justice Gulzar, adding: “Rs90m went missing from the national treasury and no one knows about it.”
He also criticised the performance of the FBR, noting that it was “protecting its employees”, who are suspected to be complicit in the matter.
Justice Gulzar said that those who are found guilty of creating fake companies to commit tax fraud can be sentenced to jail for up to five years, in addition to being ordered to pay back the money they received as refunds.
The hearing was adjourned indefinitely.
