World · South & Central Asia · 7 hrs ago

ED says Myanmar drug syndicates use goods to pay Indian networks

ED says Myanmar drug syndicates use goods to pay Indian networks

The Enforcement Directorate says drug syndicates linked to Myanmar pay Indian networks with goods, not cash crossing the border.

The trade involves heroin and methamphetamine smuggled into India through porous borders in the Northeast, including Mizoram.

Indian intermediaries supply petrol, flour, medicines and other goods to networks across the border in exchange for drugs.

The goods are bought with money routed through Indian bank accounts and hawala networks, while the cross-border payment is made in kind.

The ED has frozen more than 1,400 accounts and identified transactions worth over Rs 270 crore, and six people have been arrested.

The investigation is continuing to identify people and businesses involved, trace further proceeds of crime and dismantle the financial networks behind the trafficking.

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What people are saying

Enforcement DirectorateInvestigating agency
The banking system is thus used only for Indian leg of the transaction, where the payment looks like an ordinary trade payment backed by a GST invoice. The cross-border leg moves as goods and leaves no money trail.
via Times of India
In effect, fuel, flour and groceries have become currency in which Myanmar-based drug suppliers are paid.
via Times of India