- FBR introduced the “auction module” into its weboc system in 2021.
- 103 vehicles downloaded fraudulently using false identities of users: FBR.
- Seven first lodges, 13 people arrested as part of the scam.
Islamabad: The Federal Board of Return (FBR) discovered a major scandal and found customs agents involved in collusion with the engine registration authorities (ARM) and car dealers in the regularization of more than 100 smuggling vehicles, The news reported Thursday.
It can be recalled that to strengthen the control mechanisms and prevent the abusive use of vehicles sold, FBR in August 2021 introduced the “auction module” in its weboc system.
This system is improving to solve the problem of several vehicles recorded against documents issued by customs after the auction of confiscated smuggling vehicles.
Thanks to this module, the ARMs were able to verify the details of the online auctions before registration, which considerably reduces dependence on manual paper checks. The objective was both to strengthen institutional controls and to facilitate legitimate buyers.
However, despite these reforms, reports emerged in July 2025 concerning the abusive use of the above -mentioned auction module. In response, FBR immediately launched an investigation into the issue.
Since launching the module, details of 1,909 vehicles have been downloaded from the system. After a detailed examination, it was discovered that 103 of these vehicles had been fraudulently downloaded using false identities of users. Armchs had already recorded 43 of these 103 smuggling vehicles, actually granting them an appearance of the legal authorization.
Based on a digital audit and internal surveys, the FBR has identified the user IDs through which fraud was committed. Consequently, on July 9, 2025, FBR suspended an assistant collector and an assistant collector, whose skills titles had been evolved in the commission of this crime.
The investigation also revealed that it was part of a wider criminal racket involving officials of ARM and car dealers. Recognizing the seriousness of the question, FBR determined that the case justified measures beyond internal disciplinary procedures.
Consequently, an official request from the FBR was made on July 9, 2025 for the constitution of a joint investigation committee (JIT), including senior FIA officers, customs and intelligence agencies. The JIT was charged with a complete probe on the scam, including manipulation of the customs digital system.
Following the official FBR complaint to the FIA dated July 10, 2025, the JIT began its investigation. Consequently, on August 28, 2025, the FIA filed a FIR against the officers already identified, after being found involved in the fraudulent legalization of smuggling vehicles.
Wednesday, these people were officially arrested by FIA.
It is also relevant to mention that the application of customs has hitherto deposited seven FIR and has arrested 13 individuals as part of this wider scam.
