Singapore aid sought in coal import case

SBI expressed inability to reveal details without clients’ permission

The Indian government will approach its Singapore counterpart seeking information on companies accused of having over-invoiced coal imports.

The government is going ahead with this after the reported inability of the State Bank of India (SBI) to divulge details, citing banking secrecy rules of the Monetary Authority of Singapore (MAS) prohibiting disclosure about clients without their consent.

The Directorate of Revenue Intelligence (DRI), Mumbai, had asked the largest bank in the country in December last year for information about coal imports from Indonesia that get routed via locations such as Singapore, Hong Kong and Dubai, in the process getting over-valued in different legs.

The local branches of Indian banks maintain documents of negotiation between Indonesian suppliers and Indian importers.

According to officials of investigative agencies, the imported coal from Indonesia was overvalued to the extent of three times the actual value declared in the country of origin.

The SBI had expressed PGurus.com