You are under arrest! - DGCEI revises instructions on arrest
As per the guidelines in Chapter X of the Central Excise Intelligence and Investigation manual, arrest at the investigation stage may be considered if :
i) the person concerned is not cooperating with investigation,
ii) there is possibility of his tampering with evidence,
iii) there is possibility of his influencing the co-accused or witnesses,
iv) there is possibility of his fleeing from justice.
In a recent Board meeting, Board has observed that field formations are under the incorrect assumption that if the duty liability has been discharged by the assessee during the course of investigation, arrest should not be resorted to. In this context, it is clarified that deposit of amount towards duty evaded by the assessee, by itself, is not to be treated as sufficient reason for not taking resort to arrest in a case if the gravity of offence committed is of a serious nature. What would constitute a serious offence would depend upon the facts and circumstances of each case. The relevant factors would be violation of law with advance planning and knowledge, use of forged documents, falsification of records or creating parallel documents, the offence being committed on a sustained basis over a long period of time, party being habitual offender, etc.
Now one of the inducements offered by the investigators to get spot recovery is, “if you don't pay up, we will arrest you – rather if you pay, we will not arrest you ..” Now should the sleuths say, “even if you pay up, we will arrest you! '. So the logic is, “either you pay or don't; arrest is inevitable”. So the inevitable conclusion is “DON'T PAY”.
You can expect an arresting spree in the coming days!
F.No 587/CE/82/2007 dated 02.04.2008 of DGCEI