Kolkata: Directorate of Revenue Intelligence (DRI) has busted a syndicate importing edible oil illegally from Bangladesh and arrested Sunil Kumar Gupta, director and main operator of M/s Kanpur Edibles Pvt. Ltd on Monday from Kanpur. It is alleged that the firm used to misuse the agreement on South Asian Free Trade Area (SAFTA) to avoid paying customs duty.
According to DRI, the firm officials had hatched a conspiracy to avail the benefit of exemption of duty under SAFTA rules which is illegal. DRI got a tip-off that the said firm is evading tax by illegal use of SAFTA.
During investigation, the firm was found to have imported 17,365.81 tonnes of refined palmolein, worth Rs 116.04 crore from various land customs stations at Gojadanga, Mahadipur and Petrapol in West Bengal.
DRI has also seized seven live consignments containing 771.935 metric tonnes of imported refined palmolien, worth Rs 4.55 crore. Consignments imported in the past involving customs duty around Rs. 45.62 crore, are under investigation.
If edible oils are imported from other than SAFTA countries, it attracts Basic Customs Duty (BCD) of 54% along with Social Welfare Surcharge (SWS) of 10%. If the same consignment is imported from SAFTA Countries, then the BCD and SWS are being waived, under the rules of Determination of Origin of Goods under the agreement on SAFTA.
Gupta was produced before the Chief Metropolitan Magistrate, Kanpur on Tuesday with an appeal for his transit remand. After hearing, CMM, Kanpur granted transit remand for production of Gupta before the CMM, Kolkata.