KARACHI: The Federal Board of Revenue (FBR) has tightened controls over the operation of public bonded warehouses handling petroleum, oil and lubricants (POL) products by directing warehouse operators to strictly comply with customs laws and introducing enhanced monitoring measures aimed at preventing the unauthorised movement of bonded fuel.
In a standing order issued by the Office of the Chief Collector of Customs (Appraisement), Punjab, customs authorities directed all public bonded warehouse licensees to ensure that no warehoused POL products are removed or delivered without verification of ex-bond goods declarations (GDs) and confirmation that all applicable duties and taxes have been paid.
The order, issued under Section 97 of the Customs Act, 1969, read with Rule 468 of the Customs Rules, 2001, also prohibits the transfer of bonded petroleum products to another bonded warehouse without prior approval through the WeBOC system.
Warehouse operators have further been instructed to obtain prior approval from customs officials each day before removing bonded products, maintain daily dip measurements of storage tanks in the presence of customs staff, and update inventory records to include Ex-Bond GD numbers, dates, quantities and remaining balances.
The chief collector also directed all customs collectorates to immediately deploy officials at public bonded POL warehouses to monitor daily stock positions, verify Ex-Bond GDs and duty payments, confirm WeBOC approvals for inter-warehouse transfers, and reconcile overnight stock movements with approved removals and transfers.
An annexure attached to the standing order requires warehouse operators to submit daily requests for customs approval before the removal, delivery or transfer of petroleum products, supported by details of duty-paid goods declarations.
Separately, the Collectorate of Customs (Appraisement), Faisalabad, issued a notification assigning appraising officers and inspectors to public and private bonded warehouses in Faisalabad and Mehmood Kot on a shift basis. The officers have been tasked with supervising the clearance and delivery of bonded POL products in addition to their existing responsibilities.
Similarly, the Collectorate of Customs (Appraisement-East), Lahore, posted customs officials to the Public and Private Bonds Section and assigned them additional duties, including round-the-clock supervision of Machike Terminal and other bonded POL warehouses.
Under the revised arrangements, customs officials have been instructed to ensure that no bonded goods are removed, transferred or otherwise handled without proper authorisation and completion of the prescribed customs formalities. They have also been directed to maintain all relevant stock and movement records, oversee daily tank dip exercises conducted by oil marketing companies and PARCO officials, and monitor petroleum movements from bonded facilities.
Sources in the oil sector said the enhanced oversight reflects the customs authorities' efforts to strengthen control over bonded petroleum stocks, improve compliance with customs regulations and safeguard government revenue amid an ongoing Federal Investigation Agency (FIA) probe into alleged irregularities involving an oil marketing company. Company officials were booked over their alleged involvement in the evasion of customs duties, taxes and petroleum levy worth billions of rupees through the removal of imported oil.
