Question : Evasion of Customs Duty

(a) whether the Government has taken note of importers undervaluing foreign goods particularly Chinese goods for evading customs duty;
(b) if so, the details thereof during the last three years and the current year;
(c) the number of cases reported and detected by the Directorate of Revenue Intelligence (DRI) and the estimated loss of duty due to undervaluation of goods;
(d) whether DRI/ Department has issued show-cause notices to some firms in this regard; and
(e) if so, the details thereof and the further remedial steps taken or being taken by the Government in this regard?

MINISTER OF STATE FOR FINANCE
(SHRI PANKAJ CHAUDHARY)

(a) & (b): In the last three years and the current year, total 1521 cases of undervaluation of Chinese goods and 467 cases of undervaluation of foreign goods, countries other than China, were booked.
(c): In the last three years and the current year, total 185 cases of undervaluation of goods were reported and detected by DRI and estimated loss of duty due to undervaluation of goods is ?1714.77 Crores.
(d) & (e): In the last three years and the current year, DRI and Customs field formations have issued a total 945 show-cause notices. Further, DRI and Customs field formations keep vigil and whenever instances of undervaluation are detected, they take action in accordance with law and issue alerts and modus operandi circulars, wherever necessary.
*****