Can export promotion councils is issuing fake certificates of export performance and GST paid certificates to importers

[Dinesh kumar]

Most of export promotion council gives certificates to IEC holders by cut, copy and paste of CA letter while issuing certificate. 

In one such case, council issued export certificate for BG exemption under advance license wherein it shows export performance of three years more than 50 cr while checking GSTR-3B and GSTR-9 there is hardly 1 cr export done by exporters including deemed export. 

is there any way to punish them for issuing fake certificates? 

[KASTURI SETHI]

Dear Querist,

In my view, you are not aware of full facts of the issue.

Your query reminisces   me of the idiomatic expression, ”One  cannot paint the whole house with the SAME brush”.

[Sadanand Bulbule]

 If documents are granted merely on copied CA letters without cross-checking with GSTR-3B/9 or actual export data, it directly undermines compliance and gives undue advantage to a few at the cost of genuine exporters.

The law is clear – under the FTDR Act, 1992 (Sec. 8 & 11), IEC can be suspended/cancelled and penalties imposed for false information.

Under the CGST Act, 2017 (Sec. 122 & 132), issuing/using false certificates attracts heavy penalties and even imprisonment. Additionally, offences of forgery and cheating under the IPC (Sec. 420, 468, 471) may also apply.

Hence, complaints can and should be lodged with DGFT, GST Commissionerate or Ministry of Commerce. Fake certification is not a trivial lapse but a punishable offence – accountability must be fixed to protect genuine exporters.

Such queries are not to be raised in public domains to maintain the dignity/credibility of premier institutions like EPC.

[KASTURI SETHI]

Sh. Sadanand  Bulbule Ji,

Sir, Robust reply by you.  It is full of legal and logical force. 

[Sadanand Bulbule]

Sirji

Thank you so much for your constant inspirational words. 

AI Summary

False export certificates attract regulatory penalties and criminal liability, enabling complaints to export and GST authorities. Export promotion councils issuing certificates by copy-pasting CA letters without cross-checking GSTR-3B/9 can produce materially false export and GST-paid certificates. Such false certification can trigger IEC suspension or cancellation under the FTDR regime, monetary penalties and prosecution under the CGST framework, and criminal charges for forgery or cheating; complaints may be filed with export control and GST authorities to seek enforcement.