MEMBERS of the Tanzania Freight Forwarders Association (TAFFA) have commended President John Magufuli for 'descending' on the Tanzania Ports Authority (TPA) but cautioned that the irregularities revealed at the port so far could be a mere tip of the iceberg.
The ports authority and the Port of Dar
es Salaam have of late been the focus of national attention as tours by
the president and the Prime Minister, Mr Kassim Majaliwa, exposed
several ills that have tarnished its image, including defaulting on
proper revenue collection.
TAFFA Chairman Stephen Ngatunga said at
extraordinary annual meeting that brought together about 300
participants in Dar es Salaam yesterday that it was also high time they
met the Minister for Finance or even the prime minister to expose the
'rot at the port’ to open the gates for accurate collection of
government revenue.
“This will lead to a lasting solution,”
the freight forwarders leader enthused. He alleged that manipulation of
computer records at the port denied the government billions of shillings
in revenue but the blame was wrongly shifted to other stakeholders,
including freight forwarders.
He pointed out at the sickening corrupt
practices by technicians at the IT section of TPA, a segment described
as a “hatchery of swindlers’’ in which young technicians tempered with
computer operations to steal billions of shillings.
"The IT people collude with dishonest
bankers to steal billions on regular basis and pass the buck to agents.
There is no way a freight forwarder agent can move a container from the
port without a release order after verification of all payments,’’ Mr
Ngatunga pointed out.
"On December 12, 2015, some of our
members were invited for a meeting at the port. But to our surprise, the
event turned out to be an abrupt humiliating arrest that landed some of
our members in police custody," Mr Ngatunga recalled.
He lamented that the arrest was
unjustifiable, noting that it was only an intimidation gimmick by TPA to
cover up their wrongdoing.
“However, the good part of episode is
that we are more united to stand together and tell the whole truth," he
explained. However, TPA Communications Manager, Ms Janeth Ruzangi, said
that investigations were underway to establish the truth by finding out
what exactly transpired that led to the escalation of the reported tax
evasion.
"There are cases which TAFFA members
claim to have met their payment obligations but whose records are not
seen in the TPA computer system.
The ongoing investigation will establish
genuine cases and forged documents,’’ Ms Ruzangi noted. However, she
wondered why the agents did not raise an alarm as soon as they
discovered the anomalies on the issued invoices.
The TPA publicist said TPA was committed
to continue rendering good services to the public and the probe will
expose any illegal involvement of dishonest officials from TPA, TRA and
TAFFA.
A TAFFA founder, Mr Matthew Haule, from
the United Family Company Ltd, said since President Magufuli has proved
the desire to stop pilfering at the Port of Dar es Salaam, TAFFA members
should, therefore, offer him maximum cooperation to restore
high-quality services at the country’s major sea gateway.
"It is disgraceful to hear that
containers disappear from the port untaxed. Surprisingly such claims
re-surface while nobody from the Tanzania International Container
Terminal Services Ltd (TICTS) or Inland Container Depots (ICDs) has
claimed loss of containers. This is inside work between the port and
bankers," he alleged.
He added that they needed a joint
meeting between their members (TAFFA) and TPA officials to present their
cases before the minister or the prime minister.
We have been humiliated for so long for
no apparent reason. There is no way a clearing agent can avoid paying
taxes and continue with business. TPA records are extremely flawed," Mr
Haule insisted.
Mr Deo Michael (TAFFA) said since TPA
had proved to be unreliable partner in business, payments should be made
through the Surface and Marine Transport Authority (SUMATRA) and the
money channelled to the port to avoid cheating.
"The newly-introduced electronic payment
system (e-payment) whereby invoices are issued online and payments
concluded online opened the floodgates for the IT people at TPA to enjoy
a rip-off, which might take time to be detected at the expense of the
nation," Mr Michael observed.
He suggested that TPA invoice system
should be linked with SUMATRA and the Tanzania Revenue Authority (TRA)
for clarity and transparence.
"The masterminds, who seem to coordinate
cheating at the port for both locally destined cargo and those in
transit, must go. Enough of rampant diversion of cargo that annoyed many
clients; clearance of all port charges must be done openly and the
related documents must tally between the agents and TPA," he emphasized.
TAFFA lawyer Lambaji Madai said the
association had prepared a case that has already been filed to the High
Court, a move which would give members the opportunity to present their
case and push TPA to respond to arguments from TAFFA. "The government
action aims at ensuring proper revenue collection.
Therefore, there is nothing to fear
about and TAFFA strongly supports President Magufuli for decisive
measures,’’ he pointed out.
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