Fraudulent Duty Drawback Claim: CBI Court Convicts Two after 20 Years
The case was registered in 2003 and a charge sheet was filed in 2005. This conviction order was made after 20 years
The Central Bureau of Investigation (CBI) Court at Rouse Avenue District Court (RADC), New Delhi, on June 30, 2025, convicted two individuals for fraudulently claiming duty drawback benefits through falsified export documentation. The Court also directed them to pay a compensation of ₹9 lakh to the Apparel Export Promotion Council (AEPC), New Delhi. The case was registered in...
The Central Bureau of Investigation (CBI) Court at Rouse Avenue District Court (RADC), New Delhi, on June 30, 2025, convicted two individuals for fraudulently claiming duty drawback benefits through falsified export documentation.
The Court also directed them to pay a compensation of ₹9 lakh to the Apparel Export Promotion Council (AEPC), New Delhi. The case was registered in 2003 and a charge sheet was filed in 2005. This conviction order was made after 20 years.
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The CBI had registered the case on December 30, 2003, against Rajender Sharma, Proprietor of M/s Siddharthi, along with unknown officials of the AEPC under the Ministry of Textiles and others.
The allegations involved manipulation of export documents for garments to falsely claim duty drawback benefits. The accused reportedly carried out the fraud in connivance with another individual, Satyapal Singh.
Investigations revealed that Rajender Sharma had handed over his export license to a third party and fabricated documents to falsely portray exports of garments. In a criminal conspiracy with Satyapal Singh, he succeeded in obtaining illegal duty drawback benefits amounting to ₹14,01,828.
CBI filed a chargesheet against both accused on June 29, 2005. During the course of trial, both the accused admitted their guilt and opted for plea bargaining.
The Court, considering their plea, sentenced Rajender Sharma to imprisonment equivalent to the 75 days already undergone in custody and imposed a fine of ₹6,000. Satyapal Singh was sentenced to imprisonment till the rising of the court and was also fined ₹6,000.
In addition, both convicts have been ordered to jointly pay ₹9 lakh as compensation to the AEPC. The amount is to be paid in three equal installments of ₹3 lakh each within six months from the date of the judgment.
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