Web Desk: Pakistan Customs has uncovered an alleged large-scale petroleum tax evasion scheme involving the illegal diversion of imported petrol from bonded warehouses, potentially causing losses of more than Rs1.25 billion to the national exchequer, officials said.
The investigation, described by authorities as one of the major petroleum revenue fraud cases detected in recent years, was launched after intelligence-led operations revealed discrepancies between official records and physical fuel stocks.
According to the first information report (FIR), around 6,975 metric tonnes of imported MOGAS RON-92, equivalent to nearly 9.6 million litres of petrol, were allegedly removed from customs-controlled storage facilities without payment of applicable duties, taxes and petroleum levy.
Officials said the suspected fraud involved the use of allegedly forged Safe Transportation (ST) Goods Declarations, manipulated documents and incorrect declarations to bypass legal import procedures.
Pakistan Customs said the alleged network was uncovered through a combination of intelligence gathering, digital data analysis and physical verification.
Authorities used records from the Pakistan Revenue Automation Limited (PRAL) and the Web-Based One Customs (WeBOC) system, along with document checks and inventory reconciliation, to identify differences between declared information and actual fuel stocks.
Customs authorities have registered FIR No. 01/2026 against M/s Flow Petroleum (Pvt.) Ltd., its directors Muhammad Waris and Muhammad Asif, along with other individuals allegedly involved in the case.
The investigation is also examining the alleged role of Pakistan-Arab Pipeline Company (PAPCO) regarding fuel movement through the White Oil Pipeline, officials said.
Officials said the case demonstrates the growing use of technology and intelligence-based investigations to detect sophisticated financial crimes.
They added that those found responsible through legal proceedings would face action, while efforts would continue to recover public funds and prevent similar cases of revenue leakage.
The investigation comes as Pakistan continues efforts to strengthen tax collection, improve regulatory oversight and curb financial irregularities affecting state revenues.
Authorities have not yet released further details about the progress of the investigation or the identities of additional individuals who may be linked to the alleged scheme.
Read more: DW documentary on Pakistan’s nuclear arsenal sacrifices facts for sensationalism
