Tags:
Journalism of Courage
NEW DELHI, APR 7: In highest ever duty demand made in Indian corporate history for alleged duty evasion, Calcutta Customs has slapped a Rs 2,000 crore show cause-cum-demand notice on public sector oil major, Indian Oil Corporation (IOC) for customs duty evasion on import of petroleum products.
IOC sources said the company would seek permission of the Committee of Secretaries headed by Cabinet Secretary to appeal against the show cause notice.
The Collector of Customs (Port), Calcutta had issued a show cause-cum-demand notice last month to IOC for alleged customs duty evasion on grounds that the company had suppressed ship pre-detention demurrage charges for the period before 1998. IOC sources, however, said that demurrage charges were being included in the customs value.
Company sources said the Customs Collector (Calcutta) was empowered to hear the case on behalf of all the ports. The notice charged IOC for suppression of facts and misdeclaration.
IOC imports eight petroleum products and the duty demand pertains to only five of the products imported through all the major ports in the country, the sources said.
The five imported products on which the duty demand has been made are Motor Sprit (Petrol), High Speed Diesel (HSD), Superior Keresone Oil (SKO), Furnace Oil (FO) and Aviation Turbine Fuel (ATF).
