Head of Chennai university held for import duty evasion

Venkatachalam, who was named in both chargesheets, was arrested in Chennai.

The Central Bureau of Investigation (CBI) on Monday arrested businessman and Chancellor of Sri Ramachandra University V R Venkatachalam in Chennai in connection with alleged tax evasion in the import of luxury cars.

The racket was busted last year with the arrest of notorious car dealer Alex C Joseph, who sold cars to several politicians and big businessmen. Joseph was arrested from a five-star hotel in Delhi in February after eluding the police for 11 months after a CBI raid on his Chennai house. The agency filed another chargesheet against Josheph and others.

Venkatachalam, who was named in both chargesheets, was arrested in Chennai. He had allegedly purchased seven imported vehicles from Joseph. Along with Jospeh, Venkatachalam has been charged under IPC sections ranging from cheating, fraud, forgery and presenting forged documents as genuine.

The alleged scam in the import of cars had led the CBI to DMK leader M K Stalin last year.

During its 11-month investigation, the CBI seized 33 luxury cars (including Rolls Royces, Range Rovers, Land Cruisers, BMWs, Mercedes Benzs and Hummers) which were imported for several years under the Transfer of Residence Rules of the Customs Act.

Joseph would allegedly place orders for cars from abroad and then hire Indian working nationals being repatriated to India on cancellation of work permits, the CBI said. These cars would then be sent to India through ports in Chennai, Mumbai and Kochi in the names of these workers.

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