ISLAMABAD: A sub-committee of the Senate Standing Committee on Interior and Narcotics on Monday took serious notice of the Federal Board of Revenue’s (FBR) failure to submit the required data on tax evasion in the tobacco sector.
Javed Iqbal Tarar, chief sales tax at the FBR, failed to provide the information previously sought by the committee, hampering its proceedings. Consequently, the committee asked the officer to leave the meeting.
The sub-committee, chaired by Senator Saifullah Abro, met at the Old PIPS Hall, Parliament Lodges, to review matters relating to tax evasion in the tobacco sector, public awareness campaigns, narcotics control, and enforcement measures undertaken by relevant departments.
The Press Information Department (PID) briefed the committee on media awareness campaigns conducted on behalf of various ministries and divisions. Officials informed the committee that awareness campaigns are broadcast through 92 television channels and other media platforms, with all content and expenditures funded by the sponsoring ministry or division. Campaigns against the sale of illegal cigarettes were conducted on behalf of the FBR.
The convener directed the PID to submit complete details of all media contracts, campaign expenditures, and agreements with television channels. During the discussion on the tobacco sector, the committee was informed that Pakistan Tobacco Company and Philip Morris Pakistan are among the country’s major tax-paying tobacco companies. Expressing dissatisfaction with the FBR’s response, the convener noted that despite repeated directions, the board had failed to provide a comprehensive briefing on tax collection from tobacco manufacturers. The committee sought complete details of taxes assessed, collected, and outstanding from the tobacco industry, along with records of all registered tobacco factories over the past 20 years.
The committee was informed that Rangers personnel had been deployed by the FBR to assist in curbing tax evasion in the tobacco sector. Referring to previous briefings, Abro observed that Customs had earlier reported tobacco-related taxes amounting to Rs75 billion, while subsequent deliberations indicated that nearly Rs40 billion remained outstanding.
The committee directed the FBR to submit documentary evidence regarding the outstanding taxes, a complete list of tobacco companies and their brands, details of imported raw materials, and revenue and tax collection data covering the last two decades. The committee also directed the Federal Investigation Agency (FIA) to investigate an alleged corruption case involving Badshah Wazir, particularly concerning raw materials imported for tax-exempt areas that reportedly never reached their intended destinations.
Senator Talha Mahmood stressed that the committee’s proceedings should remain impartial and evidence-based. Reviewing narcotics control efforts, the committee received a consolidated report from the Punjab Police covering the past 20 years, including data on narcotics seizures, registered cases, convictions, pending trials, and the disposal of confiscated drugs.
The committee was informed that the Anti-Narcotics Force (ANF) accounted for approximately 49 per cent of the country’s total narcotics seizures during the previous year. Officials noted a growing shift in drug abuse patterns from plant-based narcotics to synthetic and chemical drugs.
The committee discussed the possibility of utilizing confiscated narcotics for pharmaceutical or research purposes, subject to the applicable legal framework, to generate revenue instead of destroying them entirely.
The DIG South Karachi briefed the committee on anti-narcotics operations conducted between 2013 and 2026. He informed members that more than 105,000 narcotics cases had been registered and approximately 127,000 suspects arrested during the period.
The committee was also briefed on the high-profile drug trafficking case involving Anmol, alias “Pinky”. Expressing concern over conflicting accounts presented during previous meetings regarding her arrest, the convener questioned why she had been provided extensive police escort during court appearances and directed law enforcement agencies to investigate her alleged links with influential individuals.
The committee was informed that 28 cases had been registered against Anmol, while 35 delivery riders associated with her narcotics network had been arrested. Officials stated that certain Nigerian nationals residing in Nishtar Colony, Lahore, were allegedly part of the network.
Talha sought detailed information from the Pakistan Customs regarding imports and exports through the country’s borders. He expressed concern over the under-invoicing of mining raw materials and requested comprehensive data on trade through the Sust border, as well as import and export activities with Iran.
At the conclusion of the meeting, the convener summoned the inspectors general of police of Sindh, Punjab, and Balochistan to attend the next meeting of the sub-committee and directed all relevant departments to furnish the requested information before the next session.
