Three Company Directors held for duty evasion

Chennai, Jun 19 (UNI) Four people, including three directors of a Hyderabad-based company, were arrested by officials of the Directorate General of Central Excise Intelligence (DGCEI) for evasion of Central Excise Duty to the tune of Rs five crore.

DGCEI Additional Director General V T K Nayanar, in a press release here today said the officials from the Chennai Zonal unit and the Hyderabad Regional unit detected the evasion by a Hyderabad-based company, which manufactures copper products.

Investigation revealed that the goods imported through Chennai and Mumbai ports were purchased on high sea sales basis by the company. Based on import documents, the Cenvat credit was availed.

However, with the help of a Chennai-based dealer, the imported goods were in fact diverted to Delhi and were sold without documents resulting in irregular Cenvat credit availment and Central Excise Duty evasion of more than five crore.

The three directors of the company and the Chennai dealer were arrested and remanded in judicial custody.

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