{"id":24597,"date":"2025-01-28T06:08:44","date_gmt":"2025-01-28T06:08:44","guid":{"rendered":"https:\/\/theasiantelegraph.global\/?p=24597"},"modified":"2025-01-28T07:40:26","modified_gmt":"2025-01-28T07:40:26","slug":"some-solar-containers-were-cleared-at-lower-than-market-prices-committee","status":"publish","type":"post","link":"https:\/\/theasiantelegraph.global\/?p=24597","title":{"rendered":"Some solar containers were cleared at lower than market prices, Committee"},"content":{"rendered":"\n
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Senate Finance Sub-Committee Unveils Details of Multi-Billion Rupee Solar Panel over-invoicing issue*
 
Islamabad : In  meeting of the Senate sub-committee of the Senate Standing Committee on Finance and Revenue led by Senator Mohsin Aziz, fresh revelations have emerged regarding a massive over-invoicing in the import of solar panels, involving transactions worth billions of rupees. The meeting examined the involvement of two major companies, namely Bright Star Business and Moonlight traders, in financial irregularities.
During the meeting it was revealed that transactions from these companies raised serious red flags, with Bright Star and Moonlight, two major players, at the center of the issue. These companies are accused of conducting suspicious transactions worth Rs. 106 billion between 2018 and 2022, with a substantial portion of these dealings made in cash.<\/p>\n\n\n\n

Senator Mohsin Aziz raised alarming questions about how companies, operating under tight import restrictions, were able to conduct such massive transactions. \u201cHow is it possible that companies managed to make huge single transactions when ordinarily far less amount raises red flags. Aziz inquired.
 
It was revealed that the companies in question\u2014particularly Bright Star and Moonlight\u2014used accounts opened in Lahore\u2019s branches of Dubai Islamic Bank and Askari Bank to carry out transactions for import of solar panels.<\/p>\n\n\n\n

\u201cBright Star alone made over Rs. 2.7 billion in transactions in 2018 and continued making payments, including Rs. 5 billion in 2019, Rs. 1.5 billion in 2020, and Rs. 2.5 billion in 2022,\u201d said the officials. Similarly, Moonlight reported Rs. 7.9 billion in turnover, with a significant amount in cash.
 
The Committee also uncovered multiple instances where solar imports were cleared at highly inflated values. \u201cSome solar containers were cleared at lower than market prices, while others were cleared with inflated values. The FBR should have been alerted to this discrepancy much earlier,\u201d noted Senator Shahzeb Durrani, a member of the committee.
 
The Financial Monitoring Unit (FMU) and Federal Board of Revenue (FBR) raised concerns about the nature of these transactions. FBR officials confirmed that around Rs. 46 billion in suspicious transactions were flagged, many of them involving cash payments, which raised serious concerns of potential money laundering.<\/p>\n\n\n\n

Senator Durrani expressed deep frustration over the delayed response to these financial irregularities. \u201cThis is a high-level example of money laundering, but what\u2019s troubling is that we are only now beginning to connect the dots,\u201d Durrani stated. He further added, \u201cWhat action has been taken, and why has it taken so long to address this issue?\u201d
 
The State Bank of Pakistan (SBP) and the respective banks involved have also come under scrutiny. State Bank officials revealed that penalties were imposed on Askari Bank and Dubai Islamic Bank for their negligence in whole fiasco.Askari Bank was fined Rs. 40 million, while Dubai Islamic Bank faced a penalty of Rs. 27 million for their failure to report the financial irregularities in a timely manner.<\/p>\n\n\n\n

In response to these violations, Senator Aziz remarked, \u201cWe are now hearing of fines and penalties, but what concrete action has been taken against the actual perpetrators of the scandal?\u201d
 
The subcommittee has called for a thorough investigation into the actions of the companies and the involved financial institutions. As of now, three individuals have been arrested in connection with the scandal, though they are currently out on bail. However, many questions remain unanswered, particularly regarding the full extent of the such huge over-invoicing in the import of solar panels financial transactions   launderingoperation.
 
Senator Aziz stated, \u201cWe are still waiting for concrete evidence that will confirm whether money laundering to the tune of Rs. 70 billion actually occurred. The delay in uncovering these transactions is deeply concerning.\u201d
 
Recommendations from the Senate Finance Sub-Committee<\/em>
 
As part of the ongoing inquiry investigation, the Senate Finance Sub-Committee has made several key recommendations:<\/p>\n\n\n\n