Lok Sabha Question No. 2962 (UNSTARRED), answered on 2016-12-02
Subject: Duty Evasion by Digital Cable Distributors
Ministry: FINANCE
Asked by: ADVOCATE NARENDRA KESHAV SAWAIKAR

## GOVERNMENT OF INDIA

## MINISTRY OF FINANCE

## DEPARTMENT OF REVENUE

## LOK SABHA UNSTARRED QUESTION No. 2962

## nd

## FOR REPLY ON FRIDAY, THE 02 DECEMBER 2016

AGRAHAYANA 11, 1938 (SAKA)

## DUTY EVASION BY DIGITAL CABLE DISTRIBUTORS MINISTER OF STATE FOR FINANCE

(SHRI   SANTOSH KUMAR GANGWAR)

| QUESTION                                                                                                                                                                                                                                                                                                                                                                    | REPLY                                                                                                                                                                                                                                                                                                                                                  |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2962. ADV. NARENDRA KESHAV SAWAIKAR: Will the Minister of FINANCE be pleased to state: (a) whether the Government is aware of duty evasion by digital cable distributors; (b) if so, the details thereof along with the action taken against the defaulters, company wise; and (c) the corrective steps taken proposed to be taken by the Government to check such evasion? | / (a) & (b) Details of evasion of service tax by digital cable distributors is as per Annexure. Action is being taken in terms of the provisions of the Finance Act 1994 & the rules made thereunder. (c) To check evasion the department carries out surveys, scrutiny of tax returns, audit, and searches and raids in case of specific information. |

## Annexure

## Details of cases against Digital Cable Distributors where Show Cause Notices have been issued and the duty evasion is more than Rs.1 Crore

F.Y. 2014-15

|   S.No. | Name of Zone             | Name of the assessee                       |   Amount involved |
|---------|--------------------------|--------------------------------------------|-------------------|
|       1 | Bangalore Central Excise | WEP Solutions Limited                      |              4.36 |
|       2 | Pune Central Excise      | M/s Intermedia Cable Communication Pvt Ltd |              3.49 |
|       3 | Pune Central Excise      | M/s Intermedia Cable Communication Pvt Ltd |             10.39 |

F.Y. 2015-16

|   S.No. | Name of Zone              | Name of the assessee                                          |   Amount involved |
|---------|---------------------------|---------------------------------------------------------------|-------------------|
|       1 | Chandigarh Central Excise | M/s Anand Evergreen, Near Patiala Gate, Nabha, Distt. Patiala |              1.07 |
|       2 | Chennai Service Tax       | M/s Jak Communications                                        |              1.25 |
|       3 | Cochin Central Excise     | Kerala Communicators Cable Ltd.                               |              2.34 |
|       4 | Kolkata Service Tax       | GTPL Kolkata Cable& Broadband Pariseva Ltd.                   |              9.42 |
|       5 | Mumbai Service Tax        | M/s Indusind Media & Communications Ltd.                      |             47.77 |
|       6 | Pune Central Excise       | M/s Intermedia Cable Communication Pvt Ltd                    |              8.5  |

## F.Y. 2016-17 (Upto Sept. 2016)

|   S.No. | Name of Zone              | Name of the assessee                        |   Amount involved |
|---------|---------------------------|---------------------------------------------|-------------------|
|       1 | Chandigarh Central Excise | Himachal Future Cable& Datacom (P) Ltd.     |              2.33 |
|       2 | Cochin Central Excise     | Kerala Communicators Cable Ltd.             |              4.5  |
|       3 | Kolkata Service Tax       | Advance Multisystem Broadband Communication |             10.06 |
|       4 | Pune Central Excise       | M/s Intermedia Cable Communication Pvt Ltd  |              2.73 |

(Amount in Rs. Crore)

(Amount in Rs. Crore)

(Amount in Rs. Crore)