"It is alleged that in the year 2008-09, the accused fraudulently exported gold jewellery worth Rs 600 crore to various buyers in the UAE. In lieu of this export, MSTC gave advances worth 80 per cent of the value of the invoice viz Rs 480 crore to the aforesaid associate suppliers through Real Time Gross Settlement (RTGS) in their nominated bank accounts.
"However, as stipulated, the proceeds, which were to be received within 170 days from the date of export have not been received till date. The accused conspired to cheat MSTC and allegedly exported gold to their own companies in the UAE," the CBI press information officer said in a statement.
The gold was supposed to be exported to Export Credit Guarantee Corporation (ECGC) authorised importers in the UAE against the Letter of Credit (LoC).
"However, in order to cheat MSTC, the exporters in connivance with the importers, sold the gold in UAE open market fraudulently with a commission of 2 per cent and brought back the proceeds of sale to India through hawala," he said.
"The export proceeds were supposed to be routed through MSTC to the exporters. But as the money was allegedly brought in through hawala, MSTC was unable to recover Rs 480 crore, which led to the loss of Rs 480 crore to the Government of India," the CBI official said.
Searches were conducted at 15 places in Mumbai, Ahmedabad and Kolkata. Documents recovered during the searches are being scrutinised, he said.
A case was registered against Shishir Dharkar, ex- Director of Space Mercantile Co Pvt Ltd, (presently Chairman of the Pen Cooperative Urban Bank Ltd) and his wife Gulraihna, Vivek Vaidya, Director, Ushma Jewellers and Packing Exports Pvt Ltd, Asif Sayeed and Radheshyam Bhoomavat, Directors, Space Mercantile Company Pvt Ltd and Rakesh Kumar Gupta, ex- Director of K A Malle Pharmaceutical Pvt Ltd.
Besides, Rahul Bhoomvat and Poddar, Directors, K A Malle Pharmaceutical Pvt Ltd, Jayesh Desai of Joshi Bullion and Gems Jewellery Pvt Ltd and Bond Gems Pvt Ltd, Vinod Motwani of Indo Bonito Multinational Pvt Ltd, D K Jain of Apollo Trading and Ushma Jewellers and Packing Exports Pvt Ltd, Mumbai, have also been named in the FIR, the CBI said.
The case has also been registered against four firms namely Space Mercantile Co Pvt Ltd, K A Malle Pharmaceutical Pvt Ltd, Joshi Bullion and Gems Jewellery Pvt Ltd and Bond Gems Pvt Ltd, Indo Bonito Multinational Pvt Ltd, Mumbai and unknown officials of MSTC and Pen Co Operative Urban Bank Ltd.
MSTC, which has its corporate office at Kolkata, is a trading corporation involved in imports and exports and is a nominated agency for gold exports.