Senate Sub-Committee orders complete import, consumption certificate and payment records as it investigates an alleged Rs730.797 billion reconciliation gap and demands recovery of taxes.
ISLAMABAD, November 10, 2026: A Sub-Committee of the Senate Standing Committee on Interior and Narcotics Control has directed the Federal Board of Revenue (FBR) and other relevant authorities to accelerate investigations into the alleged misuse of tax exemptions granted to businesses operating in the former Federally Administered Tribal Areas (FATA) and Provincially Administered Tribal Areas (PATA).
Chaired by Senator Saifullah Abro, the committee expressed serious concern over the alleged revenue losses, discrepancies in import records and delays in identifying companies and individuals involved in the suspected misuse of the exemption scheme.
The committee directed that its next meeting, scheduled for November 16, 2026, be held in-camera to examine sensitive financial and investigative records.
During the meeting at Parliament Lodges in Islamabad, officials from the FBR and Federal Investigation Agency (FIA) briefed members on the ongoing investigation.
Rs730.797 billion discrepancy identified
The committee was informed that imports recorded between 2018 and June 2026 totalled Rs1,120.662 billion, while consumption certificates covered imports worth Rs389.865 billion.
This left an apparent unreconciled difference of Rs730.797 billion, requiring detailed transaction-wise verification to establish the actual tax liability and potential revenue losses.
Sector-wise discrepancies included:
• Steel: Rs148.248 billion
• Textile and fabric: Rs146.955 billion
• Food: Rs100.884 billion
• Ghee and oil: Rs76.487 billion
Senator Abro called for a comprehensive reconciliation of import records and consumption certificates, stressing that all legally recoverable taxes must be collected.
FIA issues 512 notices to companies
The FIA informed the committee that 512 notices had been issued to companies in connection with the investigation. Of these, 19 companies joined the proceedings with partial records, while more than 100 notices were returned or remained undelivered.
The agency clarified that the proceedings were investigative in nature and aimed at obtaining relevant documents and explanations. Possible corruption, abuse of authority, diversion of goods and wrongful release of securities were also being examined.
The committee questioned the lack of coordination between the FBR and FIA, particularly after the FBR said it had not received formal court notification while the FIA confirmed that its legal adviser had received the relevant court order.
FBR directed to provide complete records
The committee also expressed concern over the FBR’s reluctance to share relevant records with parliamentary authorities.
Referring to Article 66 of the Constitution, Senator Abro questioned the legal basis for withholding information from Parliament and demanded clarification regarding the disclosure of records to different authorities.
The chairman specifically sought details of consumption certificates and payments involving 223 companies. He highlighted 20 certificates involving approximately Rs64 billion and questioned the release of payments against approximately Rs74 billion without adequate verification.
He directed the FBR to examine the 2021 Statement of Requirements and verify whether certificates and subsequent payments complied with the applicable legal framework.
The committee also called for investigations into possible money laundering, unexplained wealth and the alleged diversion of tobacco-related imports outside the exempted areas.
Customs authorities in Khyber Pakhtunkhwa were given four to five working days to provide complete import and movement records, including consignments, destinations and companies involved.
November 16 meeting to review investigation
The FBR has been directed to present complete details of consumption certificates issued from November 2025 onwards, corresponding payments, pay orders and supporting verification documents at the next in-camera meeting.
Separately, the FIA briefed the committee on the Silver Swapping and Heist Case, involving the alleged replacement of approximately 400 kilogrammes of genuine silver with lead bars.
The agency reported that 214 kilogrammes had been recovered so far, while the estimated financial loss stood at Rs4 million. The investigation is continuing through digital and financial forensics and asset tracing.
Senator Abro appreciated the FIA’s efforts and praised the role of Safe City surveillance in detecting the sophisticated theft operation.
The chairman concluded that the committee would continue supporting investigative agencies to identify those responsible, recover public money and ensure accountability without discrimination.