The Directorate of Revenue Intelligence (DRI) officials have arrested a Madhya Pradesh based man for his alleged involvement in Rs 50 crore duty drawback case. The DRI sources claimed that certain goods were being exported by some exporters after gross overvaluation with ulterior motive to get higher duty drawback fraudulently and subsequently the same goods were imported back to India in circular manner. The accused indulged in the export of goods declared as Carpets and Fabrics of Silk and other yams, etc. to the USA by way of mis-declaring the value and other particulars of the export goods to fraudulently avail higher Duty Drawback.
According to the DRI sources, specific intelligence developed by the DRI, Mumbai, suggested that five exporters were allegedly indulged in the export of goods declared as Carpets and Fabrics of Silk and other yams, etc. to the USA by way of mis-declaring the value and other particulars of the export goods to fraudulently avail higher Duty Drawback.
"Certain export consignments of the said exporters were seized by DRI in December, 2020. One of the suspects involved in the duty drawback fraud was issued several summonses to appear before DRI for recording of statement and to give evidence and documents in relation with investigation. However, the suspect never appeared before the DRI. A Look Out Circular was issued against the suspect. The suspect was intercepted by the immigration authorities at the Delhi airport while travelling to the USA on April 13. He was then brought to Mumbai next day and probe revealed that there is a syndicate of persons involved in this fraud of availing ineligible higher Drawback and routing of the goods in circular manner and he is one of the key person of this syndicate," said a DRI official.
