DRI busts ₹115cr export incentive fraud in Mumbai
The Directorate of Revenue Intelligence (DRI) uncovered a massive export incentive fraud in Mumbai this week, arresting an exporter and a Customs broker earlier this week.
The duo allegedly faked exports of overvalued garments to African countries to claim government incentives.
They used at least 14 fake importer-exporter codes registered under made-up names at Pune's Inland Container Depot.
How the fraud was executed
Investigators found that cheap, substandard clothes were shipped but declared at five to six times their real value.
Raids across Mumbai turned up fake invoices and digital evidence.
The exporter admitted sourcing low-cost goods without invoices and exporting them under false claims, while the Customs broker reportedly took commissions for helping out.
Altogether, the fraud led to wrongful claims worth nearly ₹115 crore in duty drawbacks and rebates.
The DRI's investigation is ongoing.