Lok Sabha Question No. 222 (UNSTARRED), answered on 2022-07-18
Subject: Gold Smuggling Case
Ministry: FINANCE
Asked by: Adoor Prakash, N.K. Premachandran

## Government of India Ministry of Finance Department of Revenue

## LOK SABHA UN-STARRED QUESTION NO. 222

TO BE ANSWERED ON MONDAY, JULY 18, 2022 Ashadha 27, 1944 (Saka)

## GOLD SMUGGLING CASE

## 222. ADV. ADOOR PRAKASH: SHRI N.K. PREMACHANDRAN:

Will the Minister of Finance be pleased to state:

(a)  whether the Central Investigating Agencies including Enforcement Directorate and Customs continue  investigation  on  Gold  Smuggling  case  in  Kerala  and  if  so,  the  details  and  the  status thereof along with the action taken by the agencies including Enforcement Directorate on the latest revelations in the case;

(b) whether the Government has given sanction to the State Government of Kerala to reinstate any officer arrested in gold smuggling case and if so, the details thereof;

(c)  whether  it  has  come  to  the  notice  of  the  Central  Investigating  Agencies  that  one  of  the accused  has  given  statement  under  164(5)  of  the  Criminal  Procedure  Code  disclosing  more evidence in gold smuggling case and if so, the details thereof;

(d) whether the investigating agencies propose to conduct investigation on the basis of the new evidence given before the competent court and if so, the details thereof; and

(e) whether the Government has exonerated any of the accused arrested in the gold smuggling case from the charge and if so, the details thereof along with the reasons therefor?

## ANSWER MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI PANKAJ CHAUDHARY)

(a) Yes,  Sir.  As  on  12.07.2022,  in  the  Kerala  Gold  Smuggling  Case,  the  Directorate  of Enforcement has identified and attached assets worth Rs. 16.82 Crores under the Prevention of Money  Laundering  Act  (PMLA),  2002.  Further,  02  Prosecution  Complaints  (including  01 Supplementary Prosecution Complaint) have also been filed under section 45 of PMLA, 2002 before the Special Court (PMLA), Ernakulam.

Customs Preventive Commissionerate, Cochin had detected a case of gold smuggling in the guise of diplomatic baggage at Air Cargo Complex, Thiruvananthapuram on 05.07.2020. The investigation  of  the  case  has  been  completed  and  Show  Cause  Notice  (SCN)  has  been  issued further  a  criminal  complaint  has  been  filed  in  the  above  case  before  the  Hon'ble  Addl.  Chief Judicial Magistrate (Economic Offences), Ernakulam.

Based on MHA's order, NIA had registered a case RC-02/2020/NIA/KOC (Trivandrum Gold Smuggling Case) dated 10.07.2020 under sections 16, 17 and 18 of UA (P) Act pertaining to Customs (Preventive) Commissionerate, Cochin OR No. 7/2020 dated 05.07.2020 regarding the seizure of around 30kg of 24 karat gold, at Trivandrum International Airport. NIA had filed a charge-sheet  against  20  accused  persons  under  sections  16,  17,  18  and  20  of  UA  (P)  Act  on 05.01.2021.

(b): The  investigating  agencies  have  not  given  any  sanction  to  the  State  Government  to reinstate officer arrested in this case.

(c): In RC-02/2020/NIA/KOC (Trivandrum Gold Smuggling case), statements of 8 accused persons have been recorded u/s 164 Cr.PC.

Two accused in the gold smuggling case Air Cargo Complex, Thiruvananthapuram has earlier given statements under Section 164(5) of the Criminal Procedure Code, 1973; now it has come to notice through  media that  one  of  the  accused,  who  had  already  given  a  statement  as referred above has given another statement under section 164(5) of the Criminal Procedure Code, 1973. The contents of the new statements are not available.

(d): NIA continues the case under further investigations on the basis of fresh inputs.

Thrivanathapuram  Central  Tax,  Central  Excise  &  Customs  Zone  has  not  received  any directions from the Hon'ble Court in this regard.

The Directorate of Enforcement takes necessary action as per provisions of PMLA, 2002 as and when new evidences/facts are gathered during the investigation.

(e): In case RC-02/2020/NIA/KOC (Trivandrum Gold Smuggling case), 03 arrested accused persons could not be chargesheeted in the case for lack of sufficient prosecutable evidence.

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