2 weeks ago

DRI Uncovers Rs 2,500 Crore Areca Nut Import Fraud

DRI Uncovers Rs 2,500 Crore Areca Nut Import Fraud
DRI Uncovers Rs 2,500 Crore Customs Duty Fraud in Areca Nut Imports, 9 Arrested · republicworld.com

Some people in India like to chew areca nuts, which are also called betel nuts.

These nuts are usually brought into India from other countries, and when they come from places like Indonesia, Thailand, or Malaysia, the government charges a big tax on them.

But some cheaters wanted to avoid paying that tax.

They pretended the nuts came from Bangladesh, a country whose nuts are allowed in without any tax because of a special agreement between South Asian countries.

Government detectives called the Directorate of Revenue Intelligence watched these importers for a whole month.

They found out that the cheaters had avoided paying more than two thousand five hundred crore rupees in tax, which is a huge amount of money.

Nine people have been arrested for this trick.

The detectives also took about 160 tonnes of the nuts and about 75 lakh rupees in cash.

The government has also stopped a company that helps people bring goods into the country from doing its work.

Now the cheaters will have to face the law for their dishonest plan.

Key facts

Investigating Agency
Directorate of Revenue Intelligence (DRI)
Estimated Revenue Loss
More than Rs 2,500 crore
Arrests
9 persons
Cash Seized
Approximately Rs 75 lakh
Areca Nuts Seized
About 160 metric tonnes
Basic Customs Duty on Areca Nuts
100 per cent
Trade Agreement Misused
South Asian Free Trade Area (SAFTA)
Searches Conducted At
Kolkata and Visakhapatnam

Quotes

Finance Ministry spokesperson

Official statement from India's finance ministry

“While they were importing areca nuts originating and sourced from Indonesia, Thailand, Malaysia and other South‑East Asian countries, they were mis‑declaring the country of origin of areca nuts imported into India as Bangladesh.”
rediff.com

Sources

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