The report noted that the exemption given was invalid because it was only meant for undenatured ethyl of 99.5% purity level.
The Customs Department had on Jan 6 this year informed the Auditor-General that they had notified the affected company on Dec 23 last year on the under-collected import duty. MIDA explained that exemption was given for undenatured ethyl of 99.5% purity level that was imported by a company as raw material, without taking into consideration its purity level.