India’s Directorate of Revenue Intelligence (DRI) has busted a transnational smuggling network that allegedly imported 7,311 metric tonnes of Pakistan-origin rock salt through Sri Lanka using forged trade documents to conceal its origin.
Four people have been arrested in connection with the operation, which uncovered 295 containers of industrial and Himalayan rock salt valued at approximately Rs 104.5 million in Sri Lankan currency, according to a statement issued by India’s Finance Ministry on Wednesday (14).
Under Operation Deep Manifest, the DRI found that the consignments had been routed through the Colombo Port before being imported into India through the Mundra and Kandla Ports.
The shipments allegedly violated India’s prohibition on goods originating in or exported from Pakistan. Fabricated certificates of origin and invoices issued by UAE-based entities had allegedly been used to misrepresent the origin of the salt.
Acting on specific intelligence, the DRI conducted a coordinated operation between 26 September and 11 October, searching premises linked to the suspected network in Gandhidham, Adipur, Veraval, Panipat, Pune, Patiala, Delhi and Mumbai.
Investigators found that nine importers had brought in the 295 containers since March. Five containers carrying 140 metric tonnes of rock salt, valued at approximately Rs 8.48 million, were seized at the Kandla Port. The agency also seized sales proceeds amounting to Rs 7.3 million held in the importers’ bank accounts.
The four suspects were arrested under India’s Customs Act of 1962. They include two proprietors or partners of importing firms, a holder of a Customs Broker’s G-card and the owner of a Dubai-based supplier. The latter had also established and operated an importing firm in his father’s name, the ministry said.
Preliminary investigations have uncovered an alleged cross-border network involving entities owned by Pakistani, Emirati, Sri Lankan and Indian nationals. These entities had allegedly coordinated shipments and supporting documentation to conceal the Pakistani origin of the goods.
The investigation found that shipping documents and Customs declarations in Sri Lanka contradicted the documents submitted by the Indian importeRs Bills of lading for shipments from Pakistan to Sri Lanka, together with declarations filed with Sri Lanka Customs, reportedly identified Pakistan as the country of origin and India as the final destination.
The certificates of origin submitted by the importers were found to be fabricated, according to the DRI.
Certificates of origin establish where goods were produced or manufactured and help determine whether imports comply with a country’s trade restrictions. In this case, the alleged falsification was intended to conceal the salt’s Pakistani origin and circumvent India’s import restrictions.
India Today