Spike in cocaine, contraband cigarettes, and currency seizures: India’s anti-smuggling agency

4/12/2024 - Updated 1:34:11 pm

Courtesy: The Indian Express

Gold quantity seized fell by 9% in FY24 to 1,319 kg, Dubai a major transit hub for cigarette smuggling into India

Seizures of drugs such as cocaine and methamphetamine, contraband cigarettes, and illicit foreign currency by the Directorate of Revenue Intelligence (DRI) have seen a sharp rise over the past year. According to DRI’s latest Smuggling in India report, the agency conducted 47 cocaine seizures worth Rs 975 crore in FY24—more than double the number recorded in the previous financial year. The quantity of cocaine smuggled into India, primarily through airports, increased by 9 per cent to 107 kg during the same period. Methamphetamine smuggling has also spiked, especially in northeastern states like Assam and Mizoram, according to DRI’s latest bulletin. While FY24 recorded meth seizures of 136 kg, the first half of FY25 alone saw 123 kg confiscated in 11 cases. The bulletin highlights that free trade warehousing zones in West Asia, particularly in Dubai, are becoming major transit hubs for contraband cigarette smuggling from Southeast Asia to India. The first half of FY25 saw cigarette seizures climb by 19 per cent, reaching 3.95 crore sticks, compared to 3.31 crore sticks during the same period in FY24. Illicit foreign currency seizures have also surged. DRI officials seized Rs 13.8 crore in foreign currency during the first half of FY25, surpassing the Rs 12.4 crore confiscated in all of FY24. Additionally, the agency uncovered a Rs 576 crore trade-based money laundering (TBML) racket. The scheme involved importing cheap electrical goods and cosmetics at inflated prices to channel foreign exchange out of the country. Dip in gold seizures In FY24, DRI seized 1,319 kg of smuggled gold, slightly lower than over 1,450 kg confiscated in FY23. Land routes, particularly from Myanmar, Bangladesh, and Nepal, contributed to 55 per cent of the seizures while air routes, increasingly from certain African and Central Asian countries, contributed to 36 per cent. “Gold smuggling in India has evolved with smuggling syndicates now employing ‘mules’ with diverse profiles, including foreign nationals and families, alongside insiders. Smuggling syndicates even leverage international departure gates, where airport workers and other staff collude in smuggling gold from transit passengers,” the report said. In a m

ajor heist in July, the Indo-Tibetan Border Police (ITBP) seized 108 kg of gold being smuggled on mules by two porters in eastern Ladakh. The investigation was handed over to DRI “given the wider ramifications”, which has led to the arrest of ten people involved in the smuggling. Lower heroin and ganja seizures “In recent years, India has witnessed a marked increase in the availability and use of a wide range of narcotic substances,” the report said. “Comparison of narcotics seizures over the past five years indicates an increasing trend for cocaine, while both heroin and ganja have shown a decreasing trend in terms of quantity,” it added. In FY24, DRI booked 109 cases involving 8,224 kg of narcotic drugs and psychotropic substances. This included 107 kg of cocaine (Rs 975 crore), 49 kg of heroin (Rs 365 crore), 236 kg of mephedrone (Rs 357 crore), and 136 kg of methamphetamine (Rs 275 crore). Seizures of contraband cigarettes stood at 9.1 crore sticks in FY24 valued at Rs 179 crore. The majority of the smuggling was through sea routes. “Apart from the Myanmar- India border, the smuggling syndicates based in South East Asia and the Middle East carry out major operations through sea route. Free Trade Warehousing Zones in the Middle East are emerging as a major transit point from where cigarette- concealed consignments are shipped to India. Though illicit cigarettes are reportedly manufactured in certain South East Asian countries, it appears that the consignments are initially shipped to Dubai from southeast Asia and then re-routed to India,” the bulletin noted. Wildlife smuggling In five operations, DRI seized 53.5 kg of elephant tusks in FY24. Other wildlife items seized across the country include leopard skins, live pangolins, pangolin scales, parakeets, live peacocks, peacock feathers, and Indian turtles. The Wildlife Protection Act was amended in 2023 to authorize customs officers under Section 50(1)(c) to seize illegally traded wildlife within the country, effective from April 1, 2023. “The rivers in India’s Gangetic plain teem with life including many indigenous species of turtles. In a major crackdown, DRI conducted a series of operations and rescued 643 turtles,” the bulletin said.