DRI alleges huge evasion by HP – but can they publish names?
ONE National Daily reported that DRI Additional Director General R Venkataraman told them that Hewlett Packard India Sales Pvt Ltd ( HPISPL ) had undervalued imported products and spares like computers, laptops, notebooks , desktops, spares etc. supplied by its overseas HP entities. He is reported to have said, "This evasion pertains to the past five years as under law, we can take cognisance of evasion up to five years only;
The report said that Mr Venkataraman said, " HPISPL did not make proper and full disclosure about pricing mechanism of imported products to customs. There is a standard rate for computers in the country and HPISPL used to get a discount ranging between 44% and 83% from other HP offices. While some part of this discount was being transferred to their sub-dealers here to compete, the rest was retained by HPISPL itself. During these transactions, it would raise two invoices - one for customers and the other for its office."
TIOL has a copy of the Show Cause Notice which runs into 72 pages and the Statement of Facts to the Show Cause Notice which run into 140 pages. We were not sure whether we should do a story on this as the Show Cause Notice is only an allegation. But the story is out – from the ADG and in today's transfer order, the ADG is transferred out of DRI !
But the moot point is, can the Department publish the names of alleged offenders?
Maybe they are not aware of the CUSTOMS (PUBLICATION OF NAMES) RULES, 1975, under which only these names can be published:
(a) persons who have been convicted by a court for contravention of any of the provisions of the Act or the rules made thereunder ;
(b) persons who have been adjudged by a proper officer to have contravened any of the provisions of the Act, or the rules made thereunder .
No names can be published just after issuing a Show Cause Notice. DRI should know this!