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Samsung o ces searched by DRI over suspected
customs duty evasion
By VARINDIA - 2021-07-11
Samsung's o ces in Mumbai and Gurugram o ce is the regional
headquarters in the country been searched recently by the
Department of Revenue Intelligence(DRI) over suspected customs
duty evasion.
Directorate of Revenue Intelligence (DRI) o cials reportedly
searched Samsung Electronics' over suspected evasion of import
duty on network equipment. The searches began on the rm’s
o ces on Wednesday, but there is no clarity on whether the DRI
found any evidence of customs duty evasion.
O cials inspected documents related to imports as provided by
Samsung.The DRI will take necessary steps to understand
whether the South Korean company has evaded customs duty.
The company enjoys zero duty on the import of telecom products
manufactured in its home base and Vietnam under the free trade
agreement (FTA) route.
Both countries have signed a memorandum of understanding for
cooperation to develop, modernise and expand telecom services
and next-gen wireless networks.
Samsung Electronics is yet to comment on the matter. It is the largest 4G vendor in the country in terms of volume, and it is also an exclusive 4G
equipment provider to Reliance Jio Infocomm.
However, the government had received information that the equipment was actually made in a non-FTA country and was routed through South
Korea or Vietnam. In such a scenario, customs duty is can be levied on the supplied equipment.
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