An investigation by Directorate of Revenue Intelligence (DRI) sleuths from New Delhi at the Chennai Port around two weeks ago into the mis-declaration of imported textile fabric gave them the lead to bust the green peas scam wherein a 39-year-old additional commissioner of Chennai Customs was sent to prison on Thursday, sources said.
The modus operandi in both cases was similar: mis-declaring goods to clandestinely import restricted items, sources said. In the textile fabric case, certain kinds of textiles which attracted a Minimum Import Price (MIP), like polyester-woven fabric, were allegedly declared as cotton-woven fabric and imported through Chennai Port by importers based in Northern states, despite other ports in the vicinity.
While probing the case, investigators found that a New Delhi-based company was importing yellow legumes from Dubai to the national capital, but curiously landing them at Chennai Port. DRI officials were piqued as common sense indicated that ports in North and Western India would be economical for goods imported from Dubai.
Using this input, DRI’s Chennai unit first stopped five containers at Chennai Port last week, where they discovered that it had green peas, which are restricted for import only through Kolkata Port at an MIP of Rs 200/kg. Around 100 tonnes of these mis-declared goods were found.
Investigations led DRI officials to Customs examiner Manish, appraising officer Nitish Kumar and superintendent Shiv Kashyap, who allegedly colluded in clearing these consignments. Searches at Kashyap’s house yielded Rs 60 lakh worth cash and jewellery; in addition, they led to discovering the alleged involvement of M Sathishkumar, the additional commissioner of Chennai Customs export commissionerate, who had administrative control of the Container Freight Station (CFS) where the containers were kept.
Parallelly, DRI officials arrested the importer, Krithika Malhotra, and her manager Amin Ul Haq before they could flee the country.
Preliminary digital evidence collected by DRI showed that Sathishkumar and Malhotra were in contact for around four years, sources said, indicating that the IRS officer played an important role in orchestrating this scam.
His residence in the TAISHA Colony in Virugambakkam, where many top IAS, IPS and other All India Service officers live, was also searched on February 9, sources said.
Before the Economic Offences Court in Chennai on Thursday, Sathishkumar’s lawyers argued that the cost of peas calculated at Rs 200/kg by DRI was faulty and that the market price of the legumes was much lesser. This argument was rejected by additional chief metropolitan magistrate P Vidhya, who remanded him in judicial custody till February 25.