UP considers scrapping mobile squad system
AN OFFICIAL REPORT SAYS SUCH SQUADS ACT ARBITRARILY, HARASSING AND EXTORTING TRADERS IN THE NAME OF CHECKING
LUCKNOW: The Uttar Pradesh government is considering abolition of the “controversial” mobile squad system in the commercial tax department to facilitate seamless movement of goods vehicles and end the alleged extortion that traders are often subjected to in the name of checking on the road, people dealing with the matter revealed.
Mobile squads have been functioning in the commercial tax department (then known as the sales tax department) since 1970 to check tax evasion by intercepting suspected moving vehicles with traders’ consignments. More than 70% of the government’s total revenue comes from the commercial tax department.
“The government now feels that not only have these mobile squads lost much of their relevance under the GST regime, but they are also considered to be the main tool of corruption and extortion of traders while their output does not match the huge resources they consume,” said a senior official requesting anonymity.
The commercial tax department is expected to send a formal proposal recommending disbanding of mobile squads soon to the state government that a few months back sought a report on the utility of mobile squads in the state.
Asked by commercial tax commissioner Ministhy S, additional commissioner (commercial tax), Gautam Buddhanagar Zone, Noida, Chandra Bhushan Singh has sent a detailed report to the headquarters here. The report makes a strong recommendation for doing away with the mobile squad units, merging the same with department’s special investigation branch (SIB) that is mandated to collect intelligence inputs on tax evasion.
Mobile squads together comprise 150 assistant commissioners, 300 commercial tax officers and 150 vehicles to carry out checking vehicles on roads in the state. Singh, in his report,
has said that mobile squads act arbitrarily, harassing and extorting traders in the name of checking.
He also said that after implementation of Goods and Services Tax (GST) with e-way bill system, the mobile squads had lost much of their relevance.
“Also, the existing system of mobile squads is based on prejudice in which each vehicle carrying goods on roads is stopped without any valid reason and forced for verification, wasting transporters’ time and adding to the possibility of harassment and extortion,” Singh said in the report.
He pointed out that all the mobile squads together inspected 6,11,636 vehicles during last three years and of them only 6% (367,35) vehicles were found to be at fault, which he said raised question marks on the rationale of the existence and utility of mobile squads.
He further said in the report that maximum number complaints received from traders about corruption and extortion were against mobile squads.
The government, according to another official, was not happy with the working of the mobile squad units and might disband them soon, making the Noida additional commissioner’s input the basis.
The Mulayam Singh Yadav government abolished the border check posts about 13-14 years ago on the same grounds. Despite the apprehensions, it was found that abolition of check posts did not adversely impact the department’s revenue collection. UP Vanijya Kar Adhikari Seva Sangh president Sunil Kumar Verma said, “Like abolition of the border check posts 15 years ago, disbanding of mobile squads is the need of the hour today.” Verma has been writing regularly to the department and the government, raising the demand for restructuring and abolition of mobile squad units.