Islamabad:A Pakistani businessman has been arrested for defrauding a Chinese company by selling soil instead of valuable minerals worth 11 crore rupees. The Federal Investigation Agency (FIA) took action against the businessman, who is accused of replacing 60 containers of mineral cargo with dirt and gravel, and has registered a case following a complaint from the Chinese importer.

According to the FIA, the accused, Syed Zeeshan Afzal Bilgrami, the owner of M/s Donzo Traders, was arrested after the agency received a complaint from Jiangsu Provincial Foreign Trade Corporation, a Chinese importer, represented by Ms. Corain Chen. The arrest took place at his office on I.I. Chundrigar Road in Karachi.

Fraudulent Export and Banking Deception

The FIR (First Information Report) reveals that Bilgrami not only committed an export fraud by sending soil instead of the contracted chrome ore but also engaged in banking fraud by submitting fake and forged documents to facilitate the opening of a Letter of Credit (LC). The fraudulent documents were used to deceive the Chinese company, leading to a significant financial and reputational loss.

The details in the FIR state that Bilgrami and the Chinese company had signed an agreement on January 17, 2024, under which Donzo Traders was supposed to export 1500 metric tons of chrome ore to China. However, on February 11, 2024, instead of shipping the agreed-upon minerals, the company sent containers filled with dirt, gravel, and rocks to the Zhanjiang Port in China. Additionally, fraudulent inspection certificates regarding the quality and weight of the shipment were submitted to the bank.

Deception at Every Stage

Before the shipment reached China, Bilgrami had already manipulated the LC process through fraudulent means. The fake documents and false assurances led to the release of the shipment, but once the cargo arrived in China, the deception was uncovered.

The Chinese company, upon inspecting the shipment, found that the containers contained only dirt and gravel, rather than the valuable chrome ore they had paid for. As a result, the Chinese importer lodged a formal complaint with the FIA, prompting the investigation and arrest of Syed Zeeshan Afzal Bilgrami.

This case highlights a severe breach of trust and international trade regulations, as well as the potential damage caused to Pakistan’s reputation in global trade. The FIA has stated that the investigation is ongoing, and further legal action will be taken against the accused.