BENGALURU: In an early payout of tax devolution funds that would help Karnataka, the Union government led by Prime Minister Narendra Modi has released an advance tax devolution of Rs 3,705 crore to the state as part of the Rs 1,01,603 crore tax devolution package for all states. Announced on the day of Ayudha Puja, this Dasara festive season amount aims to fuel capital spending and welfare initiatives.
The funds, disbursed nine days ahead of the usual October 10 devolution, will empower the state to accelerate development projects and welfare measures.
Union Minister Pralhad Joshi, MP from Karnataka, posted, ‘’Karnataka’s share is set to drive economic momentum and uplift communities statewide. The Central government, under the leadership of Hon’ble PM Shri @narendramodi ji, has released an advance tax devolution of Rs 1,01,603 crore to States, of which Karnataka will receive Rs 3,705 crore.’’
Importer misdeclared goods, says Customs
“Every action taken was legally mandated, procedurally proper, and based on documented violations discovered during examination,” the department said, stressing that "no bribe was demanded and that the importer was granted multiple hearings and extensions in line with due process."
In a chat with this paper, Prawin said the consignment pertained to 9,300 units of sex toys also used as massagers imported from China in August, which customs had allegedly declined to clear for want of bribes. He claimed to possess evidence of having paid bribes to customs officials as well.
Prawin alleged that since he had "exposed" corruption by Chennai Customs in the past, the agency had singled him out for harassment by not clearing his imports. He also said that the bribes demanded by the customs officers were huge.
By Wednesday evening, the post by Wintrack Inc's handle had gone viral spawning extreme reactions from several people who also alleged bad experiences while dealing with Customs officials.
Celebrities like Mohandas Pai, chairman of Manipal Global Education Services, and MP Shashi Tharoor entered the debate and reposted Wintrack's allegations tagging Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman, requesting them to take action.
Meanwhile, Chennai Customs on Wednesday evening put out a long post on X denying allegations of bribery and said that Wintrack's consignment had been misdeclared and that the consignment had USB charging cables which were not declared. They also claimed that Wintrack accepted the misdeclaration on September 1.
In addition, they charged the firm with not providing an Extended Producer Responsibility certificate from the Central Pollution Control Board for the electronic goods imported. Wintrack also submitted wrong documentation, made legally untenable claims of exemption and falsely alleged harassment and non-cooperation, customs added.
Prawin later tried to import identical goods through another firm in his wife's name, which Customs said demonstrated "systemic evasion" rather than inadvertent error. During a meeting on September 30, Prawin also tried to intimidate senior officers through threat of media exposure. The exchanges on X sparked a flood of responses from businesspersons and individuals who posted their experiences of paying bribes to clear cargo consignments while returning from foreign trips with electronics or jewellery. Posts also alleged harassment by GST officers. The Finance Ministry said the matter was being dealt with "utmost" seriousness and stressed their implementation of taxpayer-friendly initiatives with the objective of enhancing transparency and promoting ease of doing business.