The CBIC newsletter dated 27th May 2024, highlights a successful meeting with UAE Customs on the Customs Mutual Assistance Agreement (CMAA) and celebrates CBIC’s 2nd rank in the April GRAI rankings with a new high score. It announces the upcoming transition to the GSTN Back Office, coordinated by the Directorate of Systems & Data Management. Significant customs preventive actions include DRI Kolkata’s recovery of 89 gold biscuits worth Rs. 11.64 Crores and coordinated efforts in Ahmedabad leading to the seizure of 10.32 Kgs of smuggled gold. Additionally, a GST investigation by DGGI Jaipur uncovered a major fake ITC scam involving over 330 firms and Rs. 667 Crores. The newsletter ends with praise for the teams’ diligent efforts and a call for continued commitment.
Government of India
Ministry of Finance
Department of Revenue
Central Board of Indirect Taxes & Customs
Sanjay Kumar Agarwal
Chairman
27th May, 2024
DO No. 22/News Letter/CH(IC)/2024
Dear Colleague,
Last week, Indian Customs welcomed the delegation from UAE Customs. Despite the harsh heat in Delhi, the freshness of the relationship between Indian Customs and UAE Customs led to a fruitful first meeting on the Customs Mutual Assistance Agreement (CMAA). Key points relevant to both Customs administrations were discussed, paving the way for enhanced cooperation and mutual support. The productive dialogue and shared commitment to addressing mutual concerns indicate that this will likely be the first of many more successful meetings to come.
It gives me immense satisfaction that CBIC has secured the 2nd rank in the latest GRAI rankings released by the DARPG for the month of April 2024. This matches its February ranking, but with a notable achievement a new high score of 0.838. This milestone clearly points to the consistent and collective efforts of all the formations, especially DGTS for proactive monitoring. This improvement in score reflects a positive shift in attitude towards grievance redressal, particularly by those handling the highest number of grievances. To attain the top rank, continued and intensified efforts will be necessary, which I am sure will be forthcoming.
As you are aware, CBIC will be transitioning to GSTN Back Office next week. In this regard, the Directorate of Systems & Data Management is already in constant touch with the Zones in the past few weeks. We must work together as a team to ensure the transition is smooth and to resolve any teething issues on the new system. All concerned are expected to diligently adhere to the instructions conveyed by Systems from time to time.
On the Customs preventive front, the officers of DRI Kolkata developed specific intelligence regarding storage of a large quantity of Foreign Origin Gold smuggled illegally at the border village of Gunarmath, West Bengal. Acting on this intelligence, a special Cordon And Search Operation team was formed with the assistance from BSF officials and a person was apprehended from the village. Search of the house of the apprehended person resulted in recovery of foreign origin smuggled gold comprising of 89 gold biscuits weighing 16,064.580 grams and valued at Rs. 11.64 Crores which had been concealed in a drum used for keeping rice. During his interrogation, the person admitted that he was a key member of a smuggling syndicate operating in that area and that the subject gold had been smuggled into India for further distribution. Outstanding effort by DRI and a shining example of inter-agency coordination!
In another case, a coordinated action by various Zonal Units of DRI led to seizure of 10.32 Kgs of Foreign Origin Gold valued at Rs. 7.75 Crores. The turn of events were nothing less than dramatic. The officers, on specific intelligence, intercepted two passengers who were smuggling Gold in paste form along with two other persons who had come to receive them at the SVPI Airport in Ahmedabad. During further investigation, one member of the syndicate was apprehended who was enroute Mumbai while another member was intercepted who was to arrive at Ahmedabad Airport – both carrying smuggled Gold in paste form. Kudos to team DRI!
One case, on GST side, is worth mentioning. Officers of DGGI Jaipur Zonal Unit, during scrutiny of bank account of a suspect fake ITC beneficiary, observed that the taxpayer had transferred substantial amount to a bank account, which was routed through other bank accounts and finally withdrawn on daily basis. Interestingly, two bank accounts were of two firms, registered in GST for trading of foodgrains and were filing Nil returns. From the operator of these two firms, it was revealed that some persons/ masterminds had approached him to open these firms in exchange of hefty commission. During further investigation, searches were conducted at the premises of the actual beneficiary of these huge cash transfers wherein incriminating documents were recovered in relation to creation and operation of more than 330 fake firms involved in passing of fake ITC of Rs. 667 Crores without any underlying supply of goods/ services. Full marks to team DGGI for meticulous investigation!
Until next week!
Yours sincerely,
(Sanjay Kumar Agarwal)
All Officers and Staff of the Central Board of Indirect Taxes as Customs.
