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The Directorate of Revenue Intelligence (DRI) has seized more than two dozen luxury cars and high-end motorcycles being brought to India, allegedly by evading import duty running into several crores. The agency suspects that these cars were meant for a clientele comprising the rich and powerful.
Following the DRI operation in Delhi, Mumbai and some other parts of the country, more than a a dozen people have been detained and are being questioned.
The seized vehicles include models of Ferrari, BMW, Mercedes, Porsche, Lamborghini, Humvee and Audi.
A resident of Vasant Vihar in Delhi, who the DRI suspects was at the centre of this alleged import racket, has been called for questioning.
“Cars were imported from countries like the UK where they were purchased second-hand. The import duty on second-hand cars in India is 160 per cent while it is 109 per cent on new cars,” a DRI official said.
“After purchasing a second-hand car, they would get it de-registered in the UK. It would then be shipped to India as a new car. They also used to under-invoice the bill which resulted in less payment of taxes,” the official said.
Importers who are being questioned also include some automobile firms.
“It has also been found that in some cases, diplomatic channels were used to procure these high-end cars. They imported parts of cars in various consignments and assembled them in India. The import duty on imported parts of cars is less in comparison to the duty on the car,” the official said.
When contacted, Additional Director General (Delhi zone) R K Sharma declined to divulge details.
“The operation is on and we have detained a few imported vehicles. The matter is being examined,” he said.
This is the second time such a crackdown on imported cars has been carried out by the DRI.
In 2005, the DRI had seized luxury cars of politicians and film stars.
Following the DRI operation in Delhi, Mumbai and some other parts of the country, more than a a dozen people have been detained and are being questioned.
The seized vehicles include models of Ferrari, BMW, Mercedes, Porsche, Lamborghini, Humvee and Audi.
A resident of Vasant Vihar in Delhi, who the DRI suspects was at the centre of this alleged import racket, has been called for questioning.
“Cars were imported from countries like the UK where they were purchased second-hand. The import duty on second-hand cars in India is 160 per cent while it is 109 per cent on new cars,” a DRI official said.
“After purchasing a second-hand car, they would get it de-registered in the UK. It would then be shipped to India as a new car. They also used to under-invoice the bill which resulted in less payment of taxes,” the official said.
Importers who are being questioned also include some automobile firms.
“It has also been found that in some cases, diplomatic channels were used to procure these high-end cars. They imported parts of cars in various consignments and assembled them in India. The import duty on imported parts of cars is less in comparison to the duty on the car,” the official said.
When contacted, Additional Director General (Delhi zone) R K Sharma declined to divulge details.
“The operation is on and we have detained a few imported vehicles. The matter is being examined,” he said.
This is the second time such a crackdown on imported cars has been carried out by the DRI.
In 2005, the DRI had seized luxury cars of politicians and film stars.
