Syed Muhammad Aasim Shah said that in the procedure only Associations have been eliminated, otherwise the entire procedure remains the same. He said that exporter have to route their claims through Authorized Dealers (Banks) to State bank. He informed that it is unfortunate to inform that the forwarding bank neither have competency nor the interest to process the claim with due diligence. They simply forward the case to State Bank without properly checking the case leaving the burden to SBP for verification. It is trade Association who properly verifies the claims and keeps close coordination with the SBP.
He warned that this procedure is vulnerable to forgeries and fraudulent claims, just like the case with forged Sales Tax Refund Claims. He said that the role of trade association has been so effective that there never been any case of corruption and billions of rupees of incentives were provided to textile sector with the responsibility of concerned associations.
He said that such acts will undermine the functioning of associations as trade association are not commercial entities and based on solely on service charges from their members. He said that APBUMA will ally with all the concerned association to highlight the issue. He stressed that this notification of DLTL is some sort of ill advised effort and need to be rectified with role of association in processing of DLTL Claims.
