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    Home » Major Customs Breach at Karachi Port | BTHP Accused of Illegal Cargo Release
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    Major Customs Breach at Karachi Port | BTHP Accused of Illegal Cargo Release

    September 26, 2025Updated:September 26, 20252 Mins Read
    Karachi Port
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    Large Customs Violation at Karachi Port – Illegal Release of Restricted Steel Consignment by Terminal Operator

    KARACHI: A huge customs scandal has broken out at Karachi Port, where a terminal operator, BTHP (Bahria Transshipment Hub of Pakistan Ltd.), has been accused of illegally releasing a banned steel consignment, resulting in the loss of potential revenue of over Rs. 23 million.

    As per Customs Appraisement-West, the consignment was in official detention within the WeBOC system following an alert by intelligence reports of possible misdeclaration. Notwithstanding this fact, the cargo was released to the importer allegedly.

    Thereafter, investigations showed that the importer had declared the items as secondary quality steel coils but physical examination verified they were prime quality Hot Rolled Coil (HRC) steel, which is banned under Pakistan’s Import Policy. The number was also underreported and doubled the attempt at fraud. The value of all the goods seized is estimated to be Rs. 50 million.

    Customs officers said this release was a grave breach of clearance procedures, evading inspection and revealing weaknesses in port surveillance. In its report, the incident mentions that one officer at the BTHP terminal even took fresh samples without alerting senior customs officials, facilitating the release.

    Show-cause notice to BTHP states several infractions under the Customs Act, 1969, such as prevention of smuggling and clearance regulations. The penalties can range from huge fines to cancellation of the license of BTHP as a terminal operator.

    This is not the first time BTHP has come under the spotlight. In 2024, a vehicle from the terminal was intercepted with contraband cigarettes and LCDs, rather than declared second-hand garments. Authorities suspect that smuggling cartels are taking advantage of loopholes in the cargo tracking system following anti-smuggling crackdowns that slowed down transit trade smuggling.

    Customs officials also cite systemic issues including:

    The shutdown of the Manifest Clearance Department (MCD), which decreased tracking.

    Bogged-down customs officials who depend on terminal operators for sealing containers.

    Disjointed investigations in various directorates that enable cartels to go scot-free.

    BTHP has been asked to reply within three days to the charges. A hearing is fixed for September 27, 2025, and legal proceedings have been started against the terminal operator and the customs officials involved.

    Bilal Associates (Pvt.) Ltd., the parent company of BTHP, is one of the largest stakeholders in Pakistan’s container port operations, with investments in six major ports and terminals across the country.

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    Editorial Staff

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      Pakistan May Miss Rs3.1 Trillion Tax Target for July–September, IMF Report

      September 27, 2025

      Pakistan’s Export Concessions Result in Rs44 Billion Revenue Loss in 2023-24: FBR Report

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