The Directorate of Revenue Intelligence (DRI) has busted a racket involving import of insecticides from China that has resulted in the a loss of about Rs100 to the exchequer because of evasion of customs duty.
An imported consignment that was said to contain vinyl acetate-ethylene copolymer actually contained insecticide, according to lab tests conducted by the DRI on the material seized Nhava Sheva port. DRI then carried out a raid in Surat.
DRI officials raided a firm that manufactures intermediates for insecticides at Pipodara Gujarat Industrial Development Corporation in Surat and arrested two owners, both residents of the Mota Varachha area in Surat.
Cash of Rs70 lakh was also seized from the accused during the raid.
The arrested accused were booked for under Sections 132, 135(1)(a), and 135(1)(b) of the Customs Act and produced before a Surat court, which granted DRI a two-day transit remand of the accused on Saturday.
The illegally imported insecticides from China were sold in the domestic market and the financial transactions were conducted through non-banking channels.
DRI is on the look out for other people, including Mathur Vasoya and Suresh Gami, and have questioned Pravin Patidar, a close aide of Suresh Vasoya.
The syndicate, which had been operating since 2016, had been selling imported insecticides domestically through Satnam Enterprise, Pooja Enterprise, and Gopal Exim.
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