FBR to probe officers engaging in fist fight over share in tax refund ‘cut’

• Issue involves “cut” in Rs55m share of tax refund from a company.
• FBR spox confirm removing officers allegedly incident.
• Under the deal, the officers expected to get share as per their role.
  

ISLAMABAD: The Federal Bureau of Revenue (FBR) has said that it will investigate an incident involving its officers engaging in a fistfight over a share in tax refund amount from a company, The News reported on Saturday.

An FBR spokesperson has confirmed to the publication that the officers allegedly involved in the incident have been removed from their posts and that Chief Commissioner Corporate Tax Office Lahore Abid Bodla will be leading the fact-finding inquiry over the matter.

What was the deal?

The issue pertains to the tax refund of an air conditioning manufacturing company as a refund of Rs550 million was ordered to be released and a 10% “cut” of Rs55 million was agreed afterwards.

However, a dispute emerged over the share in it, as an officer who was said to be in contact with the company’s representative, from an unrelated field formation of the FBR was in fact negotiating the deal in return for a certain share in the “cut”.

Meanwhile, the tax officer who was competent to issue the refund was told that a cheque of Rs55 million had been issued with the issuers of the refund as well as the facilitators and enablers of this deal set to get their percentage from the “cut” depending upon their role and the rank.

The situation, went sideways after the enabler of this deal allegedly received the “cut” from the company in cash and shared it with his immediate and distant bosses including the one who received a “performance award” from the government.

This, however, left the one who sanctioned the release of the refund deprived of his part in the “cut”.

The said officer was told that the cheque issued for the amount released by the company under the head of the “cut” had bounced, which appeared to be part of the script that the amount would be received in cash.

The fistfight

Later, when the sanctioning officer took up the “cut” matter with the company, he was told that it had been released in the form of cash which led to him summoning the enabling officers at his office, who were junior in rank but belonged to a different formation.

He called the enabling officers at his office who were junior in rank but belonged to a different formation. Instead of being apologetic, the junior officer provoked to start a fistfight.

He also ordered his staff to bring a pistol from his car. The situation was pacified by the staff however the news spread like a wildfire resulting in the removal of all the suspected stakeholders of this “cut” from their positions and an inquiry has been ordered to determine the facts.