Shafaq News– Erbil

The decline in financial revenues generated from customs fees at Iraq’s border crossings is due to widespread financial and administrative corruption, the Kurdistan Regional Government’s Ministry of Finance and Economy said on Thursday, responding to remarks made by the head of the Border Ports Authority, Lieutenant General Omar Al-Waeli.

In a statement, the ministry warned of possible legal action against Al-Waeli, who accused the Kurdistan Regional Government of smuggling oil through thousands of tankers via unofficial crossings with outlawed groups in Syria, during a recent session of the Iraqi parliament.

The ministry attributed the drop in customs revenues to “entrenched administrative and financial corruption,” noting that there has been public acknowledgment of the absence of effective government authority at some border crossings.

It also cited alleged collusion with smugglers and certain tribal leaders at border points, which it said has led to goods entering the country outside official customs frameworks and without compliance with approved customs tariffs.

According to the statement, discrepancies in the volumes and types of weights not calculated as part of truck cargoes at Iraqi border crossings indicate the existence of organized corruption.

The ministry stressed that transparency regarding customs revenues and border crossings in the Kurdistan Region is not subject to dispute, stating that all details related to customs revenues and crossings are recorded with Iraq’s Ministry of Finance.

It added that a former Iraqi finance minister had previously stated in a media interview that 90 percent of revenues from Iraqi border crossings do not reach the state treasury.

Earlier in June, Iraq’s Ministry of Finance, through the General Commission of Customs, has begun implementing a new, unified customs tariff across all border crossings and customs centers, including those in the Kurdistan Region.