FBR’s RTO-II Karachi seizes Rs200m in machinery and tobacco from a Malir factory accused of illegal cigarette manufacturing. KARACHI: The Federal Board of Revenue’s (FBR) Regional Tax Office-II (RTO-II) Karachi has sealed an alleged illegal cigarette manufacturing facility in Malir and confiscated plant, machinery and tobacco valued at approximately Rs200 million. The operation is estimated to have prevented an annual revenue loss of around Rs1.2 billion to the national exchequer, according to an FBR press release issued on Sunday. The raid was conducted by the Inland Revenue Enforcement Squad of RTO-II Karachi and the Inland Revenue Enforcement Network (IREN) as part of intensified enforcement against illegal cigarette manufacturing, illicit tobacco trade and tax evasion. The action followed directions from the Prime Minister, Chairman FBR and Director General Intelligence and Investigation/Chief Coordinator IREN. Machinery and tobacco confiscated During the raid, the enforcement team sealed the factory premises and confiscated the installed plant and machinery, along with raw and finished stock. The seized equipment included cigarette-making machines, packing machines, token machines, filter machines, heavy-duty generators and other related machinery, with an estimated value of Rs200 million. Around 700 kilograms of raw tobacco was also recovered from the premises. Factory had capacity to produce 200 million cigarettes annually A preliminary assessment found that the machinery installed at the facility had an estimated production capacity of 700,000 cigarette sticks per day. This translates into an estimated annual production capacity of around 200 million cigarette sticks. The FBR said the alleged illegal manufacturing activity was…