In a bid to strengthen efforts against money laundering and enhance transparency in trade transactions, the Federal Board of Revenue (FBR) is reportedly considering a directive to customs clearing agents to furnish details of importers and goods declarations filed over the past five years.
Sources within Pakistan Customs revealed that customs agents are obligated to maintain records of goods declarations spanning a five-year period. Moreover, as these agents operate on behalf of traders, they are also required to maintain comprehensive records of the traders or importers they represent.
Highlighting the significance of this initiative, customs sources emphasized that foreign trade activities often serve as a conduit for illicit financial flows, making robust oversight imperative. Notably, the State Bank of Pakistan recently issued a framework outlining guidelines for banks to combat trade-based money laundering and terrorist financing, underscoring the importance of addressing financial crime within the trade sector.
The intended purpose of collecting historical data is to scrutinize declarations made by importers and ascertain the foreign exchange obtained from domestic banks for international payments. Customs agents play a crucial role in ensuring the accuracy and integrity of these declarations, thereby safeguarding the integrity of trade transactions.
The responsibilities of customs agents, as outlined by the relevant regulations, encompass a wide range of duties aimed at upholding transparency and compliance within the customs clearance process. These responsibilities include filing customs declarations accurately, cooperating with examinations of goods, providing complete information and documents post-clearance, and promptly addressing any non-compliance or errors detected.
Moreover, customs agents are obligated to exercise due diligence in verifying information related to customs business, refrain from withholding pertinent information, and promptly remit sums owed to the government for duties or taxes collected.
Of particular significance is the requirement for customs agents to report suspected financial transactions indicative of money laundering or proceeds of crime. This obligation underscores the vital role these agents play in detecting and preventing illicit financial activities within the trade ecosystem.
The proposed directive reflects the FBR’s commitment to bolstering anti-money laundering efforts and enhancing the transparency and integrity of trade transactions. By leveraging the expertise and resources of customs clearing agents, authorities aim to strengthen oversight mechanisms and mitigate the risk of financial crime in the trade sector.
Market stakeholders and industry participants are advised to stay abreast of developments in anti-money laundering regulations and cooperate fully with regulatory requirements to ensure compliance and uphold the integrity of Pakistan’s financial system.
For further updates and information, customs clearing agents and stakeholders are encouraged to liaise with Pakistan Customs and stay informed through official channels. Continued collaboration between authorities and industry stakeholders is vital in safeguarding against financial crime and promoting a resilient and transparent trade environment.
