FBR cracks down on auction module scam, officials and dealers arrested

Auction Module was part of FBR’s WeBOC system, which was introduced to allow Motor Registration Authorities to confirm auctioned vehicles online
An undated image of cars parked. — Canva
An undated image of cars parked. — Canva 

The Federal Board of Revenue (FBR) took strict action against the misappropriation of its Customs Auction Module, resulting in the suspension of officials, multiple arrests, and the establishment of a Joint Investigation Team (JIT). 

Notably, the Auction Module was part of FBR’s WeBOC system, which was introduced to allow Motor Registration Authorities (MRAs) to confirm auctioned vehicles online, allowing for a better reduction of fraud when clearing stolen and confiscated smuggled vehicles. 

In July 2025, it came to light that there were reports of fraud in this system. A thorough inquiry was conducted that found records of 1,909 vehicles being uploaded to the system, with 103 of these records being fraudulent, almost definitely using stolen or fabricated user credentials. 

Incredibly, 43 vehicles successfully went through MRAs under the guise of lawful clearance. The investigation found that there was a conspiracy and collusion involving a variety of Customs officials, the MRAs, and vehicle dealers. 

Moreover, during the same time FBR suspended a deputy collector and an assistant collector after it was determined that their credentials were compromised. 

The FBR formally requested that the FIA become involved in the fraud and on July 10 formally requested a JIT to investigate the digital fraud involving members from the FIA, Customs, and intelligence services. 

Furthermor, in August the crackdowncontinued when the FIA registered an FIR against the implicated officials. Various officers have been formally arrested at the same time as Customs Enforcement has registered 7 FIRs against the officials.

In a statement, the FBR stressed its zero-tolerance approach: “We remain fully committed to upholding the integrity of public service at all levels and at all costs.”