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Business News of Wednesday, 3 October 2007

Source: GNA

Companies deny owing import duty arrears

Accra, Oct 3, GNA- Four warehouses and import companies, among a number of companies, alleged to be in arrears of import taxes duties to the Customs Excise and Preventive Service (CEPS) have said they had paid all the supposed arrears.

The companies are Taj Investments, Silver Platter, Ramani Limited, and Command Commodity.

It was in evidence at the Committee Investigating Operational Malpractices that Taj Investment was in arrears of import tax duties of 1,109, 920 Ghana Cedis from January to May 2007; Sliver Platter 625356 Ghana Cedis for the same period; and Command Commodities an outstanding arrears of 40,360 Ghana Cedis from January to December 2005, 146331 for Ghana cedis for the year 2006 and 111,817 for January to May 2007. Mr Ali Jaber, of Taj Investment, Silver Platter and Ramani another company, also denied any import duty arrears.

He told the Committee's sitting in Accra that the companies, which imported and exported rice, sugar and frozen meat, among other commodities, had paid all import duties it owed the CEPS. "We want to ask permission to produce our receipts that we have paid everything," Mr Jaber said.

The Witness said all the three warehouses were connected to the Ghana Community Network, a computerised system of monitoring the movement of import goods. He said the companies paid duties before goods were moved form the warehouse and according to his information the goods could be kept in the warehouse for two years.

"As at now, we do not owe anything. We have discharged all out obligations. The anomaly has arisen because the GCNet does not record the correct position as it stands," Mr. Jaber said. Mr. Jaber stated that smuggling of goods was a bane on revenue generation, and was also adversely affecting the work of legalised import companies.

The smugglers bring in goods without paying any duty on the goods...

"We would wish that the Committee will take steps to curtail smuggling which is adversely affecting our work," Mr. Jaber said. Another witness, Mr. Fady Zeeni, Managing Director of Command Commodity, which also imports rice and sugar, said the company did not owe the CEPS any duty arrears from January to December 2005.

"I do not owe the Customs any duty between January and December 2005. Command Commodities does not owe any Customs duty. Between January to December 2006, Command Commodities does not owe any Customs duty.

Then between January to May, 2007, Command Commodity does not owe any Custom duty", he said. "I wish to bring our papers on Thursday because my lawyer is not available" Mr. Zenni said.

He said he had the GCNet system, but it was not in operation, and despite officials of the GCNet coming to install the GCNet, there was no one operating it.

Mr. Zeeni said when goods were going to the Customs Bonded Warehouse the company did not pay duties immediately, and that duty was paid only when goods in the bonded warehouse was sold.