A total of 1,377 exporters, who fraudulently claimed IGST refund worth `1,875 crore, are untraceable at their place of business. Responding to this, Sharad Kumar Saraf, President, FIEO said, “This has caused great anguish and setback to the exporting community.” On behalf of export organisations, Saraf extended full cooperation to the government to trace them.
“Every exporter has a PAN and a bank account before he applies for Importer Exporter Code. For opening the bank account, necessary KYC is done by banks also besides introduction of account by another customer. DGFT also keeps their email, telephone and bank details including the photograph of the person who applies for IEC. Exporters are also required to have GST registration providing email and mobile number, which is cross verified through electronic mode.
The registration of exporters is also done at Customs and bank details are captured in which IGST amount is credited. These exporters may also be members of some Export Promotion Councils/Authorities/Commodity Boards/FIEO who can also help in providing necessary information available with them. The Star exporters also submit Chartered Accountant Certificates, which are also at times verified by the licensing authorities,” informed Saraf.
“We need to pool the information available, with all the agencies, to locate them as a few black sheep should not dent the image of genuine exporters of the country,” he said.
Saraf added that the government should further proceed in the matter by immediately issuing them suitable show cause notices. If they do not respond, DGFT should initiate action to suspend/cancel their IEC making them ineligible for further exports/imports and authorities should initiate proceedings against them to recover government money.