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Customs chief vehicle probe…Chairman: You will hear from us on the issue
-insists GRA systems are working
The internal controls of the Guyana Revenue Authority (GRA) are working, Chairman of the Governing
Head of Customs, Lancelot Wills
Board of Directors, Rawle Lucas, has assured.
The official made the statements, yesterday, while speaking on the probe of the importation and subsequent questionable registration of a Sports Utility Vehicle (SUV) earlier this year.
“As I was reading some of the stuff, I realize unlike the past, the system is actually working…This is something that the people need to be aware of…that Guyanese people need to be aware of.”
He was referring to an article published Friday in Kaieteur News which questioned the integrity of the database control system at GRA.
Lucas explained that the tighter systems were as a consequence of the position taken by the Government on several weaknesses or “things” inherited.
“I don’t want to comment (more) on the matter at this particular point in time. I think the best thing is to wait to hear from us,” he said.
GRA, the state’s main revenue collection agency, has been under scrutiny these past few weeks.
In the past, the entity has been dogged by allegations of corruption especially within its Customs Department.
From under-invoicing to fake invoices declaring bicycles when it is something else, the rackets have been many. The state lost billions of dollars annually, as a result.
Since taking office in 2015, the David Granger administration has vowed a zero tolerance on corruption. But it is easier said than done.
In the recent case of Customs head, Lancelot Wills, he has been sent home on his annual leave pending what appears to be a probe. GRA has been quiet on his future. It has also been quiet about whether a probe is ongoing.
What is known is that Wills imported a Toyota Harrier, an SUV that was of the 2008 model.
He applied to the Department of Public Service for a duty free waiver.
An SUV similar to this is what has raised questions.
However, in November, the department rejected the application, stating that the vehicle was more than eight years old, and in any case, Wills’ position does not qualify him for the engine size that the vehicle had- it was 2362cc (cubic capacity), more than the 2000cc limit he would have been entitled to.
Under new laws, there are import restrictions on cars, vans and SUVs, that are older than eight years.
However, in January, the Customs Chief’s vehicle was registered. From indication, Wills was registered as a remigrant, and not a public servant. As a result, he paid only a 10 percent rate of the vehicle’s value. He paid just over $180,000. The vehicle was valued at over $1.8M.
When he received the registration and permission to clear the vehicle on January, GRA’s records would have shown a zero balance, which meant that all the necessary taxes would have been paid. A duty free letter was used in the process.
However, last month, someone attempted to manipulate GRA’s record keeping system, the Total Revenue Integrated Processing System (TRIPS).
Attempts were made to change Wills’s status from being a remigrant to a public servant with a duty free waiver.
This was evident from the fact that he was now being asked to pay a required amount of more than $1.8M. This problem is that he was already turned down by the Department of Public Service.
The estimated required tax and duties for a vehicle similar to the Customs head’s own is over $6M.
The attempts to change GRA systems raised grave questions about the integrity of GRA’s TRIPS.
There were even questions on whether the system had been manipulated before and it was never brought to light.
GRA stated that it had the flexibility to grant its workers waivers.
However, this would contrast sharply with 2003 laws which took the power of granting duty free concessions out the hands of Ministers and other officials. Rather, it was made law how persons can apply. In other words, once a person meets the criteria, there is no reason to turn down that person from being granted a waiver on duties and taxes that are due.
Opposition parliamentarian, Juan Edghill, who sits as a member of the Public Accounts Committee, which has oversight on GRA, has demanded answers, noting that someone had to have signed off on the transaction.
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