Dozen Excise Officers shunted amidst allegations of nexus with evaders

AHMEDABAD. Gujarat which is considered as most lucrative posting for Central Excise Officers has become a battleground of Anti-Corruption investigations close on the heels of Raids organized by DGCEI(Directorate General of Central Excise Intelligence) on Ceramic Units of Morbi. 

·   During the raids which were planned with a poor strength of Officials that too without help of Police; the Additional Director of DGCEI, Shri Shrawan Kumar and several Officers of his team were beaten up by the Mob and the seized documents were burnt and laptops were destroyed. The Officials had to run for their life and four of them were hospitalised. Lateron the Jurisdictional Officers were called for assistance who reluctantly helped in the matter.

·   A Police case has been lodged against mob of 100 odd unknown workers for attacking the Officials. Though some workers have also labeled conter allegations of using third degree methods against the Officials. 

·   As a fallout of the raids; the blame game has begun within the Department with the Central Excise Commissionerate and DGCEI blaming each other. While DGCEI has alleged non-cooperation by Excise Officials; the Commissionerate Officials have allegedly blamed encroaching into their territory without intimating them and in turn getting injured by the attack of the mob due to ill planned raids.

·   Several Senior Central Excise Officials including Commissioner of Central Excise Rajkot, Deputy Commissioners and other Officers have been reportedly transferred on charges of alleged corruption and nexus with the excise evading ceramic tile manufacturing units situated in Morbi, Rajkot. An investigation in the matter has already been initiated by CBEC and if the things do not get sorted out the matter may even go to CBI.

·   Mr Vasudeva Commissioner of Service Tax Ahmedabad, who is known for his integrity and unblemished record, has been given additional charge of Commissioner of Central Excise, Rajkot with immediate effect.This is a second instance in last one month where DGCEI has managed to get the jurisdictional Commissioner transferred. 

 ·   A Joint Commissioner of Central Excise(Anti-Evasion) posted in Gujarat was recently arrested  by CBI while taking huge amount as bribe through his tout for helping an Industrialist in a case booked against him. His tout based in Ahmedabad was also arrested by CBI.

·   Deputy Commissioner of Central Excise Rajkot S.P. Gawade has been shunted to NACEN Kolkata while  DC, GB Rao has been shunted to DGICCE, Hyderabad. It is also learnt that axe will fall on many more Officers who are also going to be shunted in a day or two.

·   Morbi Ceramic Industry is one of the biggest Industrial Zone for manufacturing Ceramic Tile. It is high time FM should consider lowering of excise duty in Budget on evasion prone commodities to attract voluntary compliance. There can be slab system of excise payment where more the turnover; lesser the excise.

·   Will not every manufacturer claim that his turnover is higher?

(Source: Allindiantaxes)


1 Comment

  1. Kumar said,

    April 11, 2008 at 7:39 pm

    i have seen in various products that the more you produce the more amount of duty is levied.

    For eg. the paper industry they have a slab that if they manufacture 3500 tons of paper they pay 8 % approx excise duty and if they manufacture more than 3500 tons of paper than they pay 12 or 16 % of excise duty. this is just one example i can pin point several like this…..

    The basic layout of our budget needs to be changed as what i see here is that the govt. itself is asking the manufacturers to manufacture less quantity (in good words).

    Like in china benifits should be given to manufacturers who are manufacturing large production and i bet the revenues generated will be ten times the revenue generated today.

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