High-value export scam through over-invoicing to illegally obtain foreign exchange.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Contravention of Sections 8(1), 8(3), 8(4) read with Section 64(2) of the Foreign Exchange Regulations Act, 1973 involving export of consignment from India to Singapore and its re-export at a significantly higher value. The mastermind arranged for import and export of the same machinery through financial institutions by over-invoicing, resulting in substantial release of foreign exchange in contravention of the Act. Despite allegations against financial institutions, their involvement was not proven. The Appellate Tribunal found gross violation of the provisions and dismissed the appeals, holding the mastermind responsible for obtaining foreign exchange through over-invoicing and engaging financial institutions.....