CBEC unit investigated 12 major undervaluation cases in FY16

NEW DELHI: Directorate General of Valuation in the Central Board of Excise and Customs ( CBEC) investigated 12 major undervaluation cases involving a total duty amount of Rs 135.70 crore in the last fiscal, Parliament was informed today.

The Centre through the Directorate General of Valuation, CBEC, monitors the trend in valuation of commodities imported across different customs locations in the country.

"In the year 2015-16, the department has investigated 12 major undervaluation cases (wherein duty involved is more than Rs 1 crore) involving a total duty amount of about Rs 135.70 crore," Minister of State for Finance Jayant Sinha said in a written reply to Lok Sabha.

Cases of undervaluation or over-valuation of imports are booked on intelligence inputs received, Sinha added.

Also, the Risk Management System (RMS) interdicts imports consignments on the basis of risk parameters.

The minister said the government has already initiated investigations as per prevalent laws wherever over-valuation or undervaluation has been noticed.

Replying to a separate query, Sinha said the Central Board of Investigation (CBI) has registered/investigated eight cases relating to chit-fund companies and Ponzi schemes in many parts of the country till April 30, 2016.

On a separate question, the minister informed the Lower House that India has tax treaties (bilateral or multilateral) with 137 countries/offshore jurisdictions.

Over 90 jurisdiction, including several no-tax or low-tax offshore jurisdiction have expressed their commitment for putting in place the Common Reporting Standard (CRS), he added.