Who is the client of XDS ? another Govt Scandal


Who is the client of XDS?

XDS an Unauthorized US based manufacturer of Armored Personnel Carriers (APCs) and bulletproof Jackets in Pakistan?

We should thank the Karachi based young and genius investigative journalist Shaukat Ali for breaking the story of unauthorized APCs and bulletproof jackets manufacturing company in Karachi. On 19th august 2009 Mr. Shaukat reported the story and told that the Chief Executive Officer (CEO) of XDS, Khurram Hamirani fled to Dubai while the Chief Operating Officer (COO) Saba managed to escape to Islamabad, however the law enforcing agencies sealed the office record which could be useful during investigation.
The very next day, on Thursday, August 20, 2009 the veteran Ansar Abbasi gave a follow-up but most comprehensive story. FIR has been lodged against the private company which produced unauthorized Armored Personnel Carriers (APCs) with banned imported items like ballistic steels and glasses and sold them to some of the security agencies.

“Moreover, the company has also been allegedly involved in the import of bullet-proof jackets but declared them to the customs department as floor mats.” Ansar Abbasi reports and informs “The interior ministry denied to have given any NoC to the company — M/s XDS (Xtreme Defence System) Pakistan (Pvt) Limited — to manufacture APCs, the commerce ministry had never allowed it to import the banned materials, the defence production ministry also never permitted the company to manufacture APCs but still it produced at least 14 APCs and sold them to FC Balochistan and others” This confirms that whatever the company has been doing was unlawful and any type of dealing with that unauthorized and unlawful company also becomes illegal.

Some interesting points about this unauthorized company mentioned in the story of Ansar Abbasi.

* The company has sold these APCs to the FC Balochistan through a general order contractor, who on his own approached XDS for the manufacture of the APCs.

* Sources in the customs insist manufacturing of the APCs and armoring of vehicles was being even done by the XDS before September 20

* It had been involved in retrofitting of some official vehicles, including that of the Prime Minister’s secretariat but it was done on behalf of some government agency.

* The company has been working in association with the Heavy Industries Taxila.

* Sources in the customs claim the XDS had manufactured eight APCs and retrofitted the same number of cars before September 20, 2008.

* Meanwhile, the customs intelligence lodged a formal FIR against the company and its chief executive officer early this month; however, sources said the full scale of duty evasion in Karachi has not been revealed in the said FIR.

* The same company has been involved in similar illegal and mis-declared undervalued goods at the Rawalpindi Air Freight Unit.

* According to the FIR, “M/s XDS Pakistan (Pvt) Ltd., (NTN No: 3012318-6) and M/s Xtreme Defence System (Pvt) Ltd. (NTN No: 2675326), situated at XDS House, D-39, Block-5, Clifton, Karachi, have imported multiple consignments of Ballistic Steel, Ballistic Glass, Ballistic Steel Kits and various other restricted/banned items falling under PCT (Pakistan customs tariff) heading 8710.0000 by mis-declaring their description, quantity, value and PCTs, besides violating the ITC rules, and have cleared the same by declaring the description as “Mild Steel Plates (Premium), Hot Rolled Steel Plates, Steel Plates, Wind Shield Glass, Car Glass, Car Mats”, etc., and number of consignments of “Safety and Security Film” mis-declared as “Polyester Film” from the Karachi Air Freight Unit and have; thus, caused huge loss to the national exchequer in terms of millions of rupees.

* The mis-declared consignments were cleared with the active connivance and abetment of the others, including the clearing agents.

* A meager amount of the customs duties and other taxes have been paid on these imported goods, whereas, huge amount of freight was paid for such banned items, which clearly depict that the mis-declared goods which were airlifted were actually high-valued items and were specifically used to manufacture “Armoured Personnel Carriers” (APCs), and for retrofitting “Bullet Proof Vehicles”.

* The preliminary investigation so far conducted has revealed that M/s XDS Pakistan (Pvt) Ltd., and M/s Xtreme Defence Pakistan (Pvt) Ltd., have supplied 14 APCs, 23 armoured vehicles to their clients all over Pakistan.

In the light of above facts these questions arises;
1. How did an unauthorized company sell APCs to FC Balochistan?

2. Under which Law the government especially the prime minister secretariat got the official vehicles retrofitted by an unauthorized company?

3. Its association with the Heavy Industries Taxila is another big question mark.

4. Will the prime minister who dismissed a corrupt Chairman of Pakistan Steel Mills, take actions against the elements within Prime Minister Secretariat?

5. What criteria and procedure is for dealing with outsourced agencies and firms is? If any procedure is followed then did why the prime minister secretariats hire an unauthorized company for retrofitting official vehicles?

6. How did the XDS become the exhibitor in official Idea Pakistan 2008 (Please see the list)?

7. The preliminary investigation so far conducted has revealed that M/s XDS Pakistan (Pvt) Ltd., and M/s Xtreme Defence Pakistan (Pvt) Ltd., have supplied 14 APCs, 23 armoured vehicles to their clients all over Pakistan. Who are the clients? Are these clients security agencies and governments or the products is also sold to “individuals” and “group”?

8. Its function and delivery of its products put a big question mark on the role of Pakistan’s intelligence agencies and consignments clearing system.

9. What is the connection of MQM’s minister for shipping, Babar Khan Ghauri? If investigated from this point of view the story will certainly provide a clue about the possible clients of XDS.

10. Xtreme Defense Systems (XDS) is a US based company that specializes in safety and security technology. Its products are in usage in Government offices, critical facilities and Army bases; guarding these against threat of terrorism, intrusion, burglary and natural disasters. It “ABOUT US” tells us much about the company’s intentions. Especially the selling of bulletproof jackets raises the eyebrow of every sensible Pakistani being aware of US activities in Pakistan in general and its arms support to the separatist elements in Balochistan.

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