The present Nawaz Sharif Administration has taken certain steps for bringing in some respectability to the national economy. From PM’s debt retirement scheme, to revamping of tax collection system, recovery of stuck up dues/loans, acceleration of privatisation process and selling of surplus government lands, are all appreciable steps. However, there is still a lot to be done. Unfortunately, apart from "debt retirement scheme", there is nothing new in rest of the measures being taken. The cause for present day economic disaster, is not only, the plundering of national wealth by unscrupulous elements, but also, the inefficiency or inadequacy of "tax imposing" as well as "tax collecting" machinery. Invariably, majority of our "economic wizards", tend to adopt short cuts by concentrating on the "existing" tax base rather than exploring the new areas, or broadening the base. As a result, for last 50 years, those who started paying taxes are being burdened more and more, while, those who, for some reasons, could not be registered as tax payers, continued to enjoy "Tax Free" wealth. A simple example shall further highlight this point. Government at one time, levied tax on TV sets/VCRs, in shape of "Licence fee". Those who got the licenses made, came on "record", as tax payers and are being "followed" by authorities, if they fail/or delay in renewal, but, those who did not come on record, never paid a penny and enjoying. A very oft narrated anecdote well explains the apathy of our government machinery, particularly, where revenue generation or collection, for nation is concerned. The story goes like this. Once upon a time, in some city, a "guard" was posted on the main gate of some government building to check entry. The guard made himself comfortable on a chair placed next to the entrance. People were walking in and out of the building, without asking the guard or the guard stopping or checking them. This practice continued for hours. A person who considered himself as literate, disciplined and patriotic, was watching this practice for sometime and had been feeling sorry for the guard. He thought that the people were not paying due respect to the "poor man", thus deliberately trying to undermine guard’s authority. Overwhelmed by the nationalistic feeling, he walked up to the guard and respectfully asked him "Sir, can I get in?" "No" came a firm reply! The man surprised and shocked looked at the guard and sheepishly asked, "Why?.. I have some work in there. Moreover, I have been watching you for a long time, you have never stopped anyone from entering. Why me?". The guard looked at the man, gave a little twist to his moustache, and said calmly. "They never asked me for permission!"

This, in a nutshell, explains the taxation and tax collection system in Pakistan. Those, who are paying, continue to pay, and those who did not pay, "need not pay". Just like the person who made the mistake of asking the guard. There cannot be a better time or need than now to have new sources of revenue generation, without levying extra taxes or spending from treasury. It might sound odd or even absurd, but it is a fact that billions of rupees can be raised without incurring any additional expenses. It is almost like money lying on a table just to be collected. However, someone from the government has to take the initiative. As said earlier, there are many new areas, which need exploring. One of the areas with tremendous potentials for revenue generation, without spending, is the video film industry.

Ever since the introduction of VCRs in Pakistan, the video films dealers are doing a roaring business, running into trillions of rupees annually, almost like a "Tax free" Bonanza. Even if the existing laws governing the video films, like Copyright or Motion Pictures Ordinance, were considered seriously the nation would have made trillions. Unfortunately, no one thought of it and those at a position of responsibility, let this illegal business flourish on one pretext or the other, thus "innocently" causing huge monetary loss to the nation.

Unfortunately, most of our prevailing systems are either influenced by the colonial past or the dictatorial eras. May it be a "quota system" or "discretionary powers", all negate the basic democratic principles and human rights. The worst thing is to frame strong laws and then provide a provision of discretion! This option; a characteristics of monarchs, kings or dictators, cannot go along any democratic society and invariably gives rise to corruption. This is what has happened to this society! Too much discretionary powers to almost every one who "matters", thus promoting phenomenal corruption. There are many examples which can be cited here. However, since the issue of Intellectual Property Rights is the focus the discussion would be restricted to it.

The existing Copyright law of Pakistan is reasonably strong. An offence under this law is cognisable and non-bailable. It carries a punishment upon conviction of up to Rs 100,000 (Rs 200,000 on second conviction) or 3 years RI or both. However, while the upper limit of fine or RI has been defined, the minimum limit is left to the discretion of magistrates. Similarly, Pakistan Motion Pictures Law, dealing with censorship etc, also have provisions for the same kind of punishment and discretion. Moreover, this law also suffers from another lacuna. No action can be taken against any one selling, renting or exhibiting an uncensored film, unless the same was being exhibited in a "place licensed for exhibition" (Section 8(5) of MPO 1979). In light of this and also as per the stand of Central Censor Board of Pakistan, no action under censorship code, can be taken against thousands of video and laser film outlets keeping uncensored films, thus giving free hand to all for promoting violence and vulgarity. Additionally, both laws, being old, lack provisions to deal with fast changing scenarios in the field of audio-visual as well as printed works. Fortunately, despite all these weaknesses, these laws are strong enough to be implemented with the right force and intentions. Sadly, it is not being enforced and copyright infringement or piracy continues with complete immunity. This illegal business has flourished, (and flourishing) by leaps and bounds. It is so tragic that no one in the past, or even in the present government, has thought about controlling this broad-daylight robbery of the national resources. The piracy is rampant and so is pornography and obscenity, because the laws have never been enforced seriously and relegated to the last priority, by enforcers. The pirates are filling their coffers with ill-gotten money and the administration seems to feel helpless before pirates or may be enjoying with them!!! Ironically, no one seems to realise that the irreparable damage being done by uncensored and pirated films to the society: particularly the youth need immediate attention from all quarters. This is a major cause of corruption and moral deterioration of the young generation. The video pirates dealing in uncensored, obscene and vulgar films are not only criminals but sinners, deserving the worst punishment. They are the parasites, eating up the national money and destroying socio-cultural values.

It is so sad that in this land-of-the-Pure and also an Islamic society, while a hand of hungry "bread thief" could be chopped off the intellectual property thief remains above board! Has anyone thought as to what is the fault of those intellectuals, scientists, poets, writers, and artistes of this country called Islamic Republic of Pakistan, who spend their lives and put every thing they have, to "build" their own intellectual property, but pirates loot them. Can some one think about those great minds of this country who created or built or invented great works, but faded away in oblivion without getting a single benefit from their own intellectual property, due to IPR thieves. Ironically, even some of the educated people of our society, favour piracy on various pretexts, like "sharing the global wealth for humanity" or for transfer of "latest technology for developing nation" or "exercising the right to choose as human" etc. Their reasons sound innocent and genuine to a common man! However, there is a vast difference between sharing, owning, stealing or snatching. The deprivation, do not give a right to steal or rob others. If that be the case, then car snatching by "car-less" or land grabbing by "land-less" or even power snatching by "power-less" should neither be a crime nor sin. Luckily, this is not the way it happens in any of the civilised societies or religions.

There are always so many right ways of doing right things. Free entrepreneurship does not mean usurping the rights of others. The video pirates are doing this illegal business on the pretext of "honouring peoples’ right to choose the kind of entertainment they like"! Book pirates have a reason for piracy to "promote cheap education for poor lot"! The software pirates are "serving the nation by providing cheap means to transfer latest technology for starved local scientists"!!! Likewise so many other types of piracy is being done for various reasons. This blatant law violation is going on for ages. One might tend to ignore this if the nation was getting some sort of benefit out of it. No. Nothing in "piracy" is good is for the nation. They are neither doing any service to IPR owners, nor nation or humanity. They are doing every thing for themselves. Absence of any strong action by the government is surprising. Or maybe, no action is being taken because some one in the government, thinks that the pirates have genuine reasons for piracy. If that is so, the best would be to enact another law, to legitimise this so far illegal business. Let there be no taxes or fee of any kind for any one. Let there be no censor of films. Let there be no tax or duty on paper or magnetic tapes or films or software etc. Let there be no discrimination. Either all in the business be paying taxes or none should pay! Well it sure is difficult but not impossible. Impediments should not deter the government to make right decisions in the best interest of the nation. What ever may be the case, piracy in any shape, would never be acceptable to any dignified nation including Pakistan.

The pirates, particularly the video pirates, have flooded almost every home with obscene, vulgar and uncensored films. They are, making mockery of the law of the land, causing losses of billions of rupees to the nation, in the shape of "lost taxes", promoting corruption, immorality and sexual violence among youth by flooding the market with cheap, vulgar, pornographic and uncensored films, promoting a society rampant with smuggling, tax evasion and illegitimate business, deterring and discouraging legal business, deterring and discouraging foreign investments, projecting Pakistan as a nation of pirates among the global community, building personal empires on the debris of national economy, values and pride. Yet they are considered "respectable businessmen". The "Pirate Mafia" is laughing. They seem to be above the law and openly defying it. It is very difficult to comprehend that the administration feel helpless against them! It is also not understood as to why action against these criminals is being delayed on the pretext of more "important" matters!! In the present scenario, what could be more important for Pakistan to have more sources of revenue generations? What could be more important for Pakistan than to have corruption free and legitimate business flourishing? What could be more important for Pakistan to have morally strong, healthy and disciplined youth? What could be more important for Pakistan than be called a nation of honourable people? Evading national taxes, robbing some one of his life long earning of Intellectual Property through piracy and giving the owner a heart attack, is no different than car snatching on gun point or murder or "plundering the banks"!

Luckily for Pakistan's video industry, couple of years back, a local entrepreneur, invested a huge amount in this field, and tried to legitimise so far, unaccounted and thriving illegitimate business. This company, concluded an agreement with the major studios of Hollywood and for the first time in the history of Pakistan, started releasing legal video films, under license, after getting these censored by Central Board of Censorship in Pakistan. The nations' share in one such legally released video print is about Rs 100 (in shape of various taxes like, Sales Tax, Duties and Censorship fee), while the pirates pay nothing and pocket every thing! There are approximately 40,000 video and Laser film outlets in the country, (with one of the biggest video pirate market at Rainbow Centre Karachi, followed by Rafi/Zaitoon Plaza, Lahore and Imperial Market, Rawalpindi, having trillions of rupees as annual "Tax free" turnover). So, modestly speaking, even if one legal print is purchased by each shop, (minimum 25 legal English titles are being released per month at present) the nation can get revenues to the tune of Rs 100,000,000 per month (triple of this amount, so far going to the pirates)! (This example is based on minimum sale, while maximum sale can yield billions and even trillions if Hindi movies etc. are included!) This company once again, for the first time in the history of video films, paid as taxes in millions to the nation (accounting for 65 % of total censorship fee) single-handedly in addition to a substantial amount of royalties to the owners of copyright for the films released by them. Ironically, the governments, this or previous, had been keen in getting the taxes, but not very keen to ensure writ of law. As a result the poor patriotic entrepreneur who was depending on the law of the land, and various international treaties, has suffered enormous losse. His fault? He asked the "guard"! Had he entered the "building" without asking the "guard", he would have been filling his coffers, like the other 40,000 video outlets in the country. The worst part of this tragedy is, making the laws and then using those laws for personal gains.

There is no denying the fact that every patriotic Pakistani would love to live with dignity, honour and respect by throwing away the yoke of foreign debt. It is also a fact that every Pakistani would like to protect and uphold the socio-cultural values with all strength, by shielding against alien cultural invasion. No one in sanity, would like to beg or steal, if indigenous resources could meet the basic needs. Fortunately, a little effort put in by the government, in controlling piracy, can generate the much desired revenues for debt retirement and, more importantly, protect the future generations from becoming the victims of immorality and corruption. Incidentally, a trade association of major Hollywood studios, called Motion Picture Association has done a tremendous job by making general public and administration aware of the importance of copyright protection. A few other affected organisations, like Oxford University Press, Paramount Books and other local entrepreneurs have joined hands to eliminate the social evil of piracy from the society. Despite a very luke-warm approach by the law enforcers, the ceaseless efforts and financial support by these set ups, about 1000 anti piracy criminal cases have been registered within last couple of years. This is just a very small fraction of what should have been done, had there been complete government support for such enforcement. As per available statistics, it is interesting to note that, about, Rs 25,000 per criminal case is spent in terms of man-hour wages of police-force, transportation, legal proceedings and IPR owners’ staff etc. (incidentally the nations’ share of expenses is about 10% only). At end of the day, due to no mandatory minimum punishment (left to discretion of presiding magistrate) the accused is levied Rs 100 as fine (even less than the price of one pirate video cassette or book) and let off to do piracy with renewed vigour! So far, out of over eight hundred anti-piracy criminal cases, only 77 have been decided ( in over two years). At this rate, piracy will continue to flourish, the porno dealers will continue to destroy the moral fibres of our youth, and IPR owner as well as national exchequer will always remain at a loss. Even if a 50 % of maximum fine is imposed, it would not only act as a real deterrent but also ensure collection of additional revenues for the nation, amounting to Rs 40 millions for pending cases only. With on going anti piracy operations the number of cases would increase - hence more revenue to the government.

It may be worth mentioning here that Pakistan is a signatory to Berne Convention, International Copyright Order, TRIPP's and WTO etc. Pakistan, like all nations, is bound by regulations stipulated in these treaties. In fact, with the tremendous amount of growing indigenous talent, that time is not far when we ourselves would be concerned about protecting our IPR around the world, rather than fearing violation of foreign IPR in own country. So to claim our own IPR protection tomorrow, Pakistan has to protect others’ IPR today. Every Pakistani should think on these lines, while keeping pace with the fast changing global priorities. The pirates must not be permitted to continue with this illegal "tax free" bonanza at the cost of legitimate business and national interest. Government must take immediate steps to arrest the situation and harness this tremendous source of revenue generation.

To meet this goal it is suggested:

1. Mandatory censorship for all commercial films in any shape like theatrical, video, laser, VCD or DVD, meant for sale, rent or exhibition for commercial purpose, irrespective of its origin. The violator to be levied a fine of Rs 50,000 per conviction. So anyone dealing with films for commercial purpose shall either get the films censored or be prepared for punitive action.

2. Establishment of special police team to enforce copyright and Motion Picture laws, from within the existing police force. These teams at the Divisional level, and under direct command of Inspector General of Police/ Chief Commissioner ICT, will definitely help contain this menace through strict enforcement.

Minor amendments to Copyright and Motion Pictures Law, to include mandatory minimum punishment and to bring these laws in conformity with fast changing times.

As a result the nation is going to gain:

1. More than Rs 5 billions annually, from video Rs 1 billion from books, without incurring any extra cost. This amount can go straight for debt retirement.

2. Elimination (or at least reduction) of a social evil like pornography.

3. Documentation of a huge segment of the industry, so far untraceable, for levying General Sales Tax and increasing tax revenues.

4. Inclusion of Pakistan in the global community, with regards to Intellectual Property Right protection, in accordance to WTO, TRIPPS etc, thus attracting more foreign investments.

5. Encouraging legitimate business and broadening the base of this industry.