DRI registers case against Nirav Modi for diverting diamonds

The Directorate of Revenue Intelligence (DRI) on Tuesday lodged a case against Nirav Modi for allegedly diverting diamonds and pearls worth Rs 890 crores from Special Economic Zone units located in Surat.

"This case is about the diversion of duty-free goods by the SEZ units of Nirav Modi Group of companies - Firestar Diamond International Pvt. Ltd., Firestar International Pvt. Ltd. etc. situated at Surat and Jaipur. These units are into import and export of diamonds, pearls, and jewellery," read an official statement.

In the units situated at SEZ, goods are allowed to be imported duty-free for the purpose of export.

"The investigation done so far has revealed that there was the difference in the declared stock value of the diamonds and pearls in the SEZ units when compared with the ascertained actual value of the same. This clearly indicates that certain stock of these goods has been diverted to domestic tariff area," it added.

In 2014, DRI had booked a similar case of customs duty evasion against the 3 SEZ companies of Nirav Modi Group situated at Surat. The companies had paid Rs. 48.21 crore in that case.

In relation to the cases, booked on 2014, the prosecution has already been launched against Nirav Modi and his three companies, for offences under section132 and 135 of the Customs Act, 1962.