Startling revelations have emerged regarding significant tax revenue losses amounting to 58 billion rupees, attributed to corruption, fraud, and irregularities within Sri Lanka Customs. The findings were disclosed by the Parliamentary Committee on Ways and Means, emphasizing the urgent need for immediate action to recover the substantial sum.
Patali Champika Ranawaka, Chairman of the Committee and Member of Parliament, called upon the Ministry of Finance and relevant institutions to swiftly address this issue and explore avenues for the retrieval of the lost revenue.
The Committee, during its proceedings, questioned customs officials regarding the reasons for this substantial tax revenue not reaching the Customs and, subsequently, the national treasury. The revelation has raised concerns about the efficiency and transparency of revenue collection and oversight processes.
In a related matter, the Committee uncovered information regarding the import and re-export of karunka, a valuable commodity used in various industries. It was revealed that Indonesia imports karunka from Malaysia and Myanmar at a rate ranging between 750-900 USD per metric ton and subsequently re-exports it at significantly higher prices, yielding substantial profits.
At present, nearly one hundred containers of karunka, equivalent to 1493 metric tons, are detained, creating a substantial predicament for Sri Lankan karunka traders. To address this issue, the Director General of Customs has announced a decision to re-export the detained karunka with the addition of a 35 percent value.
Additionally, the Director General of Customs highlighted efforts to collect substantial fines, particularly for valuable goods such as gold that have been brought into the country illegally. More than 290 million rupees have been collected in fines from ten individuals, as a result of implementing a 100 percent fine for valuable goods.
The Committee recommended that Sri Lanka Customs calculate and communicate the revenue losses incurred by not imposing three times the fines on such goods, as a measure to enhance revenue collection and discourage illegal importation.
