DRI completes investigation of IC misuse

KATHMANDU, MAR 1: 

Department of Revenue Investigation (DRI) has completed the firm-wise detailed investigation regarding the misappropriation of Indian Currency (IC).

“It has been revealed that a total of 2496 fake customs declaration forms were used to misappropriate IRs 1.28 billion,” said deputy director general at the department Rajendra Sharma Laudari. 

“About IRs 335 million was misappropriated by Shyam Galla Bhandar alone by using 734 fake customs declaration forms,” he said.

Similarly, the amount misappropriated by Digital World, Rehanta Traders, Mahalaxmi Enterprises and Jay Mata Di International stood at IRs 159.2 million, IRs 301.7 million, IRs 47.5 million and IRs 7.97 million, respectively, added Laudari.

Digital World used 223 fake customs declaration forms, whereas Rehanta Traders used 539, Mahalaxmi Enterprises 71 and Jay Mata Di International used 31 fake customs declaration forms to misappropriate IC, according to Laudari. “Similarly, Shree Laxmi Traders misappropriated IRs 82.2 million using 292 counterfeit customs declaration forms, Maxwell Computer misappropriated IRs 242.1 million using 382 forms and JS Traders misappropriated IRs 11.3 million using 154 fake declaration forms.”

The total amount misappropriated stands at IRs 1.28 billion and the department will charge 100 per cent fine according to Foreign Currency Exchange Act, Laudari informed, adding that the department will collect IRs 2.56 billion including principle amount and fine.”

Meanwhile, DRI will ask Nepal Rastra Bank to initiate action against staff of nine banks for their negligence, Laudari said. “But it is yet to be clear whether banks were involved intentionally or not. However, they failed to follow due procedure before releasing IC to the concerned firms.”

All the concerned banks have failed to abide by their obligation to make customers fill out the foreign currency exchange form as specified by the Foreign Currency Exchange Act, he said. 

The department is likely to file a case against nine firms next week and it will recommend the central bank for appropriate action against all nine banks after filing the case, Laudari added.

Source: THT