Navi Mumbai: Areca nuts worth Rs 9.65 cr being imported by mis-declaring them as bitumen seized

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The Jawaharlal Nehru Custom House (JNCH) in Navi Mumbai's Nhava Sheva seized 189.6 metric tonnes of areca nuts worth Rs 9.65 crore that were being smuggled by mis-declaring them as bitumen in import documents, an official said on Monday, reported news agency PTI.

The action, which was taken by the Special Intelligence and Investigation Branch (SIIB) at Jawaharlal Nehru Custom House (JNCH), led to the arrest of a director of the importer exporter code (IEC) holder company, he added.

"Based on a suspicious scan noticed by alert officers of the Container Scanning Division (CSD), nine containers were put on hold and a detailed examination was conducted. It was discovered that areca nuts worth Rs 9.65 crore were clandestinely concealed behind bitumen drums," a statement issued by the Jawaharlal Nehru Custom House said, reported PTI.

The modus operandi unearthed involved packing of areca nut in wooden pallets wrapped in black plastic to camouflage them and make them appear as bitumen drums, the statement said, reported PTI.

"Areca nut attracts high tariff value and duty structure of 110 per cent plus Integrated Goods and Services Tax (IGST) so as to protect its Indian producers. In avoid to pay this, unscrupulous importers resort to mis-declaration during illicit imports of areca nuts. The duty sought to be evaded in this case was approximately Rs 11.63 crore," it added, reported PTI.

Along with the seizure, multiple searches were conducted and statements of connected persons were recorded and further probe is underway, the statement said.

(With inputs from PTI)