SUNDAY OBSERVER Sunday Observer - Magazine
Sunday, 9 November 2003  
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Over 150,000 cellphones smuggled in last year

by Elmo Leonard

More than 150,000 cellphones were smuggled into the country last year, depriving government coffers of Rs. 300 million in taxes.

This figure was arrived at after the discovery that 263,918 subscribers received new connection last year, whereas only 113,072 cellphones had been legitimately brought into the country, paying Customs duty, Minister of Rural Development and Deputy Minister of Finance, Bundula Gunawardhana told the Sunday Observer. Mobile phones come under Import Control Licence. "Not only does the country loses revenue through smuggling, but companies that import mobile phones legally are also deprived of the chance of making a profit," the minister said.

The Finance Ministry and Government Fiscal consultants are trying to ascertain as to how so many illegal cellphones had come into use.

The number of illegal cellphones obtained during the current year is still unknown, the minister said.

Meanwhile, it was reported recently that Customs had detected over 950 mobile phones and ten transreceivers worth nearly Rs. 10 million, being smuggled through the airport. The goods belong to an Indian national, it was stated.

A Customs team to trace the leader of this smuggling racket has been deployed. Whenever detections of illegal cellphones are made, a foreigner is introduced as the owner of mobile phones.

The foreigner then seeks permission to export the consignment of cellphones detected, Customs officials said.

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