CVC clears action in wireless smuggling case

NEW DELHI, NOV 1: The Central Vigilance Commission CVC has cleared the grounds for departmental proceedings against 27 officials of the...

NEW DELHI, NOV 1: The Central Vigilance Commission CVC has cleared the grounds for departmental proceedings against 27 officials of the Customs and Central Excise Department in Gujarat who were accused by the CBI in a case of aiding 29 ship-breakers in Alang to smuggle powerful wireless equipment and later sell this to anti-social elements including smugglers. Last fortnight, the CVC cleared the Central Customs8217; request for such action and ordered that the inquiry must be completed within six months.

Normally, when a ship comes in for breaking at the Alang yard, it is the responsibility of the customs department to ensure that no contraband items are smuggled in it. In this case, however, it was found that over 1997 and 1998, powerful wireless equipment was smuggled in and allowed to go undetected. In May 1998, the CBI raided the premises of 32 ship-breaking companies, based on tip-offs, and found wireless equipment in 29 premises.

It then filed a case against them and against 30 customs and centralexcise officials.

8220;The Commission endorses8221;, the CVC order states, 8220;the department8217;s proposal for initiating major penalty proceedings against all 27 officials. Department may also appoint its own inquiry officer in the case and ensure its completion within 6 months8221;, the CVC order states. Since 3 of the 30 officials against whom the CBI had first registered a case in May last year have by now retired, the CVC has said that the Customs must find out whether the cases have become time-barred in the case of two-accused retired superintendents. If action can be taken, the CVC has said it should be taken under the pension rules usually, the pension is cut. If the cases are time-barred, the government8217;s displeasure should be conveyed to the officials concerned, the CVC has said. In the case of another officer, no action can be taken because of the time-bar.

Interestingly, the CVC order comes at a time when the war between the ship breakers and the customs department appears to be hotting up. Over the lastfew months, the shipbreakers have gheraoed various customs officials over various matters. On Oct 9 they gheraoed the Deputy Commissioner of Central Excise in Bhavnagar, on Oct 11 it was the turn of the Joint Commissioner Customs at Rajkot and on Oct 12 the Chief Commissioner of Customs at Vadadora.

The immediate reason was that on October 8, the customs passed orders preventing a certain tug, the Jasmine-I, from being used to ferry the inspecting party to and from the ships coming in for breaking. Customs sources say this was done after the Mercantile Marine Department MMD in Mumbai informed them that the tug was not seaworthy and lacked basic safety equipment.

The ship breakers filed a case in the Gujarat High Court, and also took up the matter with the Chief Minister. A week later the tug was declared sea-worthy by the MMD, and the customs allowed it to be used for ferrying officers The ship-breakers also petitioned the authorities to reduce the number of customs officials the rummaging team whoboard a ship to check for contraband.