GRA looking to shuffle key staff, rehire former officers

– as duty-free scam probe continues

In the light of the discovery of a multi-million-dollar, duty-free scam, the Guyana Revenue Authority (GRA) could shuffle certain staff members holding vital positions, and may rehire staff members who were dismissed under the Bharrat Jagdeo administration.

However, this move, which was met with opposition from high ranking officials of the revenue body, has been put on hold following the intervention of senior government officials.

Khurshid Sattaur

When contacted yesterday, GRA head Khurshid Sattaur told Stabroek News that it is the board of directors of the revenue body that hires staff and not him. As regards the duty free scam, he said the matter is still with the police.

Reports are that as of June 1 last, the GRA was expected to secure the services of the former staff members and they were expected be placed at key positions within the semi-autonomous body, including the Drug Enforcement Unit (DEU) and the Remission Unit to strengthen the  functions and credibility of those departments.

According to a source, late last month  staff members were told that there was going to be a shuffling of positions within the body and it was later explained to staff that their former colleagues would be rehired “to bring credibility“ to the revenue body. The source said the move was prompted by allegations of fraud and financial impropriety, which have been plaguing the organization. “The luxurious life of some people, especially people with small gross income, has to be looked at,” another source within GRA told this newspaper last week.

The source said the duty-free scam, over which several persons are currently being investigated internally by the GRA and the police, fuelled the move which he stated, was initiated by a senior government official. He added, however, that there was a subsequent disagreement between government officials, including a former Cabinet member, on the move.

He said there are reports that senior GRA officials  were against the move since they felt their positions were being threatened and he added that senior staff attached to several departments, including Customs House on Main Street, immediately contacted their “friends” in government circles to thwart the move.

“About 10 persons they call in and interview, including people who used to be in enforcement,” the source added. He said the list included a former drug enforcement official who led a team which busted the importation of a quantity undeclared alcoholic and non-alcoholic beverages by an East Bank Demerara businessman a few years ago. He said the customs officer subsequently lost his job for “underperformance”.

Another official, who was ushered out of the GRA over his involvement in an investigation into a container of bogus cigarettes in August 2010, was also interviewed with the intention of rehiring him.

In that case, a container of bogus Express cigarettes, which was thought to have been shoes, was turned back by Surinamese officials after passing through Guyana. Investigations by the GRA led to the dismissal of at least 5 persons. The official later told Stabroek News that his dismissal from the body was vindictive since he was the person who led to the scam being uncovered.

On May 10, 2012 the GRA had issued a statement saying that two of its officers were being investigated over the forging of signatures of senior officers.

GRA had said that the fake signatures were affixed to Remission of Duty Letters (commonly referred to as CG or Tax Exemption letters) used for issuing duty-free concessions for All Terrain Vehicles (ATVs) and other heavy-duty equipment employed in the mining industry, which under normal circumstances would have attracted concessions for eligible applicants.

“The detection was made as part of the routine system of checks and balances in place to prevent such occurrences. The officers found culpable denied the allegations, but irrefutable evidence from the records of the division which facilitates tax exemptions, has implicated them,” the statement had said.

Sources said one of the two junior officers implicated has admitted forging at least 20 duty-free letters for vehicles and the taxes lost run into tens of millions. Three other employees have since been identified as masterminds and the scam may have been running for two years now.

The employees have since been shifted to Customs House on Main Street where they are confined to a low  level department filing documents.