Massive Customs Scam: Toyota Land Cruiser Imported for Just Rs. 17,635 in Shocking Under-Invoicing Case

In a jaw-dropping revelation, a 2023 Toyota Land Cruiser was imported into Pakistan for just Rs. 17,635, according to a recent audit report by the Directorate General of Post Clearance Audit (PCA). The real value of the luxury SUV? A whopping Rs. 10 million.

This case is part of a much bigger customs scandal involving under-invoicing of imported luxury vehicles, which has led to a massive tax shortfall of over Rs. 17.5 billion between December 2024 and March 2025.

What's Happening?

The PCA reviewed 1,335 Goods Declarations (GDs) and found that luxury vehicles were consistently being declared at shockingly low prices. While importers claimed a total value of Rs. 670 million, auditors assessed the real worth at Rs. 7.25 billion.

In the case of the Toyota Land Cruiser, the declared value was almost 99.8% lower than its actual price. Based on the real value, the customs duty and taxes should have been Rs. 47.2 million, but importers paid almost nothing.

How They Did It

The audit also revealed that many importers didn’t provide proof of payment (foreign remittance documents), suggesting that vehicles were purchased using informal or illegal money transfer channels. This raises serious concerns about trade-based money laundering (TBML).

Even more concerning, customs officials did not enforce proper document checks. The report highlights that the Faceless Customs Assessment (FCA) system was misused to clear vehicles without proper scrutiny.

Why It Matters

This isn’t just a tax issue — it’s a national security and financial integrity concern. Pakistan is already under global watch by the FATF (Financial Action Task Force) and has agreements in place with the IMF to improve transparency in its financial systems.

This kind of systematic fraud not only drains government revenue but also damages the credibility of the country’s import and tax system. It may lead to stricter international scrutiny, penalties, or funding delays if not addressed immediately.

What’s Next?

The PCA has labeled this as a “high-risk” scheme and called for urgent reforms. The ball is now in the government’s court — will they act quickly to plug the loopholes, or will this become another forgotten scandal?