Press Release Title: Senator Saifullah Abro, Convener Sub-Committee of the Senate Standing Committee on Interior and Narcotics Control presiding over a meeting of the committee at Parliament House, Islamabad.

Press Release Date: 14th April, 2026

Senate Sub-Committee Raises Alarm Over Smuggling, Tax Evasion and Revenue Losses   The meeting of the Sub-Committee of the Senate Standing Committee on Interior & Narcotics was held at Parliament House under the convenership of Senator Saifullah Abro. During the meeting, officials of the Federal Investigation Agency (FIA) briefed the Committee on the agenda items. They informed that, in compliance with the directions of the Sub-Committee, an inquiry report regarding Chota Lahore has been prepared and submitted, containing all relevant details. The officials further stated that notices have been issued to all concerned authorities as per the Committee’s instructions. Additionally, a letter has been sent to the Chief Secretary Balochistan regarding petroleum-related matters in line with the Committee’s directives. Senator Saifullah Abro, Convener of the Sub-Committee, expressed concern that petroleum worth Rs. 222 million had been seized by customs authorities over the past five years and questioned where the fuel was being transported. He observed that convoys of dozens of vehicles are reportedly involved in smuggling petroleum products. He emphasized the need to enhance national revenue and called for a comprehensive report tracing the movement and destination of such fuel. The Convener directed that detailed information be obtained from the Chief Secretary Balochistan, and a formal notice be issued in this regard. He further instructed that the Chief Secretary be summoned for a personal hearing to provide a detailed briefing on measures taken to control smuggling and related issues, so that the Committee may be fully apprised. The Committee was also informed that a letter has been written to the Member Customs regarding tax exemptions applicable in FATA, PATA, and adjoining areas. The Convener remarked that these regions have increasingly become hubs of smuggling, which is detrimental to the national economy. He noted that instead of development, these areas are witnessing tax evasion, and such activities are harming the country. The Sub-Committee decided to summon the CEO of TESCO in the next meeting. Furthermore, customs authorities were directed to compile comprehensive data on the total volume of goods transported to these regions, as well as details of items manufactured there and subsequently sold in other parts of the country without payment of customs duties. Senator Saifullah Abro also highlighted the disparity in the tax system, stating that those who pay taxes are burdened further, while others evade taxes. He remarked that he himself receives notices from the Federal Board of Revenue (FBR) on the days Committee meetings are held. The Committee was informed that a notice has also been issued to the Member Operations. The Convener directed that the notice sent to Mr. Zubair, who has been assisting the Committee should be withdrawn. He emphasized that individuals contributing positively to national interests should be encouraged rather than discouraged. Officials from the Federal Investigation Agency (FIA) informed the Committee that, in compliance with its directions, letters have been sent to the concerned departments and the case will be concluded within the next 10 days. It was further apprised that Shehroz Rasheed Khan has submitted his written statement, stating that a total of 2,202 cigarette cartons were missing from the godown. The Convener of the Sub-Committee emphasized the need for strict action against tobacco industries and directed for the installation of pickets at all such facilities to ensure proper monitoring of stock movement. He stressed the importance of maintaining effective checks and balances on incoming and outgoing tobacco stocks. The Convener further underscored the need to take concrete steps against those involved in illegal activities in order to enhance tax collection from grey areas. A Member of the Federal Board of Revenue (FBR) informed the Committee that competent and honest officers have been deployed in Khyber Pakhtunkhwa to curb corruption. He added that several new disciplinary proceedings have been initiated against dishonest officials, with many already dismissed from service during the current tenure. He also highlighted measures taken to encourage integrity by recognizing and rewarding honest officers for their performance. The Convener of the Sub-Committee also referred another case involving the embezzlement of Rs. 1.28 billion in the 765kV Dasu–Islamabad Transmission Line Grid Station project (Islamabad West, Lot-IV). He revealed that the said amount had not been included in the bid evaluation. Senator Saifullah Abro directed the FIA and the National Accountability Bureau (NAB) to take action against the contractor as well as the officials of NTDC involved in the matter. Senator Umer Farooq, a Member of the Committee, stressed the urgent need to curb petroleum smuggling in Balochistan. He noted that diesel is currently being sold at Rs. 240 per liter in Quetta and Rs. 210 per liter in rural areas. Customs officials informed the Committee that 75,000 liters of diesel were confiscated in Hub the previous night, while additional quantities were seized in Hyderabad, Sindh. Customs authorities further stated that they have no operational presence along the Iran border or in districts such as Panjgur, Gwadar, Kech, and Washuk, and are currently limited to settled areas of Balochistan. Senator Umer Farooq highlighted that large quantities of cannabis and opium are being openly cultivated in the Qila Abdullah valley, with little enforcement action being taken. The Convener of the Sub-Committee directed strict action against non-performing Customs officials posted in Balochistan, as well as in the tax-free zones of FATA and FANA. He also instructed that the assets of such officials be monitored to ensure accountability. Customs officials informed the Committee that up to 3 million litres of petroleum products per day are currently permitted for local populations to import from Iran, reduced from the previous limit of 6.5 million litres. They further revealed that major Oil Marketing Companies, including PSO, Shell, and Attock, are not operational in several areas of Balochistan. The Convener directed that a letter be written to PSO seeking detailed data on petroleum supplies to Balochistan, including transportation costs paid to tanker operators for supply of products to the areas of Balochistan. It was also reported that steel factories have imported raw materials worth Rs. 100 billion, while oil and ghee manufacturers have imported hydrogenated vegetable oil, vegetable ghee, and vanaspati ghee worth Rs. 320 billion since 2021 in tax-exempt areas. Customs officials stated that 409 importers are currently operational in Pakistan. The Convener directed that complete details of all companies operating in tax-free areas be submitted in the next meeting.