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Excise scam: Belated action could prove costly for govt

PANAJI

There’s a common idiom “Better late than never”, which absolutely does not fit the Excise Department currently entangled in one of the massive frauds.

Belated action

There’s suspension, departmental inquiry, and partial recovery so far, but this belated action could prove costly for the government. The scam originating from Pernem had left the revenue-generating department in an embarrassing situation.

The department, on Friday, submitted the file to the Vigilance Department seeking an inquiry and recommending an investigation by the Anti-Corruption Branch (ACB) against three suspended officials “ the mastermind Harish Naik (Upper Division Clerk), Vibhuti Shetye (Inspector), and Durgesh Naik (Inspector).

These developments come after sustained reporting by The Goan since June 22, which brought the massive fraud to light. The expose prompted Chief Minister Pramod Sawant to intervene and direct Commissioner Narayan Gad for immediate action and investigation.

Had it not for all this, there’s every possibility the entire matter could have been swept under the carpet.

Excise exposed

Somewhere in May, around 70 licence holders approached the department to address “default payment” notices they received from the head office in Panaji. These notices were issued when the department discovered that these licence holders in one of the busiest tourist locations in Pernem had not paid mandatory fees.

What unfolded was shocking. When the licence holders presented their receipts and licences to the Commissioner, they were informed that all of these documents were fake. The blame fell squarely on UDC Naik, who allegedly convinced these licence holders to pay him the fees, promising to deposit the amounts in the bank and update the office system accordingly. The bank receipts, bearing its rubber stamp, along with the licence copies featuring Inspector’s signature and office stamp, were provided to the licence holders without arousing any suspicion of their authenticity.

Despite this exposure, the department chose to remain silent by merely taking a deposition from the complainants and discreetly transferring UDC Naik to Sattari without any disciplinary action.

Evidence destroyed?

The delayed action, sources said, could have provided the erring officials with an opportunity to destroy evidence. The whereabouts of the rubber stamps, how and from where the fake receipts and forged licence certificates were generated, remains a mystery.

The department has also not provided clear information on the actual financial loss resulting from the misappropriation. While it is understood that the loss amounts to Rs 2 crore approx, the Commissioner has only managed to recover around Rs 28 lakh from the UDC.

Officials moved

Meanwhile, the department has also refrained from divulging if other officials are also involved in the scam, even though it is believed that this fraudulent activity has been ongoing for several years. Sources allege some inspectors and subordinates who may be involved have been transferred without facing any consequences as on date.

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SCAM NOT THE END OF STORY, EXCISE HAS A LOT TO ANSWER

In this tiny State, numerous scams have been uncovered across different departments and its prevalence no longer surprises anyone. While some reach a logical conclusion, others are cleverly ‘taken care of.’ Another scam has now become a talking point, this time, in the Excise Department. Large-scale illegalities and irregularities by selective staff within the system have put the entire department in an uncomfortable situation. After extensively covering the issue for over two weeks, The Goan reports further

VIBHA VERMA
Published Jul 8, 2023, 11:44 PM IST
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If you are under the impression that the Pernem excise station is the sole blot on the Excise Department, you might be mistaken. The entire department has consistently engaged in misconduct and purportedly exploited loopholes within the system, over the years.The misappropriation of funds and forgery, involving at least three officials including two inspectors so far, could be just the tip of the iceberg. Official records reveal numerous irregularities that have plagued the…

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