2 tax evasion cases by Cadbury India detected: GovtThe Directorate
General of Central Excise Intelligence (DGCEI) has detected two cases of
tax evasion by Cadbury India, the Minister of State for Finance, S.S
Palanimanickam, said in a written reply in Rajya Sabha on Thursday. The
Minister said, "two cases of tax evasion by Cadbury India Ltd have been
detected by DGCEI during the years 2009-10 to 2012-13, up to October 31,
2012." One case is related to evasion of Central excise and the other
is concerned with evasion of service tax. He said Central excise duty
evasion by the Baddi (in Himachal Pradesh) unit of Cadbury India
was
detected in 2011-12. It involves evasion of approximately Rs 200 crore.
The matter is under investigation, Palanimanickam said. The other case,
related to service tax evasion of Rs 13.43 crore by Cadbury India,
Mumbai, has been adjudicated and a demand of Rs 11.75 crore was
confirmed along with a penalty of equal amount. He said Rs 12.08 crore
tax with Rs 0.53 crore interest was realised during investigation. In
response to the Finance Ministry's answer, a Cadbury India spokesperson
said, "A compliant and ethical corporate culture, which includes
adhering to laws and regulations in the countries in which we operate,
is integral to our success. To that end, we are fully co-operating with
the authorities on this enquiry. Since the investigation currently is
under way, it will be inappropriate on our part to discuss the details
at this time." – www.thehindubusinessline.com