Karachi: The Collectorate of Customs Enforcement in Karachi has apprehended one of its staff members, a bidder, and a facilitator for their roles in a Rs. 16.5 million fraud related to a customs auction conducted in February 2026. The arrests followed the discovery of fraudulent activities involving fake documents used to remove auctioned goods without payment.

According to Press Information Department, credible intelligence received on August 28, 2026, prompted a preliminary investigation that revealed a bidder had illicitly removed goods valued at Rs. 15 million without paying the bid amount. Additionally, the bidder evaded a 10% income tax of Rs. 1.5 million, resulting in a total default of Rs. 16.5 million. The fraud involved the creation of fake documents, including a fake PSID, Delivery Order, NOC, and CPR, all allegedly crafted by a clerk in the Collectorate’s Auction Branch.

Subsequent investigations led to the arrest of an Auction Branch official, the bidder, and a facilitator. The clerk identified as the mastermind behind the preparation of fake documents is reportedly on the run, with efforts underway to locate and apprehend him. The three arrested individuals have confessed to their involvement and implicated the absconding clerk as the orchestrator. They appeared in court on September 3, 2026, where a two-day physical remand was granted, allowing further interrogation by the Collectorate’s I&P Branch. Investigations continue to recover the defrauded amount and to ascertain if other officials or private individuals were complicit.

The Federal Board of Revenue has reiterated its commitment to a zero-tolerance policy against corruption and malpractice within its ranks, emphasizing that strict actions, including departmental and criminal proceedings, will be taken against those found responsible, regardless of their rank or position.