Cadbury under lens for alleged excise duty evasion

Written By Unknown on Senin, 05 November 2012 | 08.11

It was further found during the course of investigation that mandatory licences or permissions from local bodies concerned for setting up the unit were not obtained before the last date of March 31, 2010, the sources claimed.

Armed with intelligence inputs and certain documents claiming wrong doings, the DGCEI, which began its preliminary probe last year, also carried out the searches at the various premises of the firm and other suspected people.

During the course of investigation, the statements of various persons, including Managing Director of Cadbury India Ltd and at their corporate office at Mumbai and also their ex-employees have been recorded under Section 14 of Central Excise Act, 1944, a finance ministry official said.

The Section mandates power to summon persons to give evidence and produce documents in inquiries being carried out by the revenue Department.

The investigations conducted so far has revealed that the company through its unit had filed a declaration with the office of the Assistant Commissioner, Central Excise Division, Shimla claiming that they have commenced commercial production in the June 2009.

"Whereas, the certificate of commercial production by the Industries Department of Himachal Pradesh has been issued to them somewhere in January 2011 which shows that the said unit had not commenced their commercial production up March 2010 and area based exemption has been wrongly availed," the officials said.



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