2 held for misusing export incentive scheme

Chennai, July 31 (UNI) The Directorate of Revenue Intelligence (DRI) here has arrested two people for allegedly misusing the export incentive scheme to the tune of Rs one crore at Hyderabad in Andhra Pradesh yesterday.

In a DRI release, DRI's Additional Director General P Babu said acting on a specific intelligence that some units were importing copper rods/copper scrap under the export incentive scheme and were diverting the imported material without utilisation, defrauding the government.

The DRI special teams conducted special searches at Hyderabad, Delhi and Chennai and recovered incriminating documents, he added.

During the raids, it came to light that a private company importing copper rods for the purpose of making copper wires had only a shed without any manufacturing facility or proper electricity connection to utilise the imported material.

Several documents bearing evidence of diversion of goods valued at Rs 3.4 crore, imported without payment of duty, were recovered.

The arrested were remanded to judicial custody, the release added.

UNI