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The move follows a formal complaint by M/s Wintrack Inc. alleging irregular practices and procedural deviations in customs clearance at Chennai port. DoR was entrusted with the task of conducting impartial, transparent and fact-based investigations, the results of which now form the basis of CBIC’s vigilance action.
Officers went out, investigation will be completed in six weeks
Acting on the findings, CBIC has initiated an intensive vigilance investigation to be completed in a time bound manner in 4-6 weeks. To ensure the integrity and independence of the investigation, all the officers named in the report have been relieved of their current responsibilities and transferred out of the jurisdiction with immediate effect.
Sources said the decision reflects a zero-tolerance approach towards any kind of procedural malpractice or abuse of authority within the customs administration. “The vigilance inquiry will examine all aspects of the alleged irregularities and recommend accountability where appropriate,” the official said. He said the investigation would also assess systemic weaknesses that may have allowed such practices.
Central Board of Indirect Taxes and Customs @cbic_india Factual investigation report has been received from the Department of Revenue (DOR), which has been submitted by M/s Wintrack Inc. An impartial, transparent and fact-based investigation was ordered into the allegations allegedly made by…
-CBIC (@cbic_india) 11 October 2025
Personal fraud case and suspension of broker
Interestingly, the DoR factual report also highlights the possible dimension of fraud and private fraud – not by customs officials alone, but by middlemen and agents linked to the importer.
In response, CBIC has taken immediate enforcement measures:
The license of the customs broker agent named in the report has been suspended under Regulation 16 of the Customs Brokers Licensing Regulations, 2018 pending the final investigation outcome.
A police complaint has been filed against unauthorized intermediaries allegedly violating customs law and engaging in deceptive practices.
Officials said these steps are intended to signal clear resistance against both official misconduct and private misconduct that undermine business integrity.
Systemic Reforms: Task Force under Member (Customs)
In parallel, CBIC has constituted a High Level Task Force under Member (Customs) to monitor corrective operational measures and recommend systemic reforms. The task force will focus on preventing recurrence of similar cases and restoring business confidence.
Among the measures mentioned are:
Comprehensive review of all pending cases to ensure consistent, transparent and legally correct application of customs rules – especially in cases involving MSMEs and small-scale importers.
Strict monitoring to prevent abuse of rights or retaliation against complainants, ensuring that whistleblowers or importers who make complaints do not suffer undue harassment.
Enhancing the faceless assessment system by hiding additional importer details to ensure complete anonymity and avoid any scope of bias or targeted investigation.
Strictly restricting physical access to customs locations to authorized Customs House Agents (CHAs), eliminating the presence of unauthorized middlemen or brokers.
Strengthening grievance redressal mechanisms through standardized monitoring and regular field-level reviews, ensuring accountability and timely disposal.
Public disclosure of inspection updates and systemic corrective measures through customs portals to enhance transparency and public trust.
“These measures reaffirm the government’s commitment towards integrity and transparency in customs administration,” the CBIC said in an official post on Twitter. “They are designed to strengthen systemic processes while facilitating seamless trade and commerce.”
Background: Wintrack complaint and its outcome
The controversy arose when Wintrack Inc., an importer operating through Chennai Customs, alleged that it faced procedural irregularities, undue delays and suspected collusion between some officials and middlemen. The company’s complaint triggered a fact-finding investigation by the Revenue Department earlier this year.
According to sources, Vintrack representatives cited unauthorized intermediaries who claimed influence over customs clearance decisions. Although no formal misconduct was initially proven, the DOR’s investigation revealed a pattern of irregular procedural conduct that required a thorough investigation.
The CBIC’s prompt action to act on the findings – providing relief to the stranded officials and suspending customs broker licenses – is a rare example of prompt administrative action in customs vigilance cases. Traditionally, such investigations have often been protracted, and field officers remain in office pending investigation.
Pattern of past vigilance actions and reforms
This is not the first time that CBIC has taken decisive action on vigilance concerns within the Customs establishment. Over the past two years, the Board has been enhancing internal vigilance and accountability mechanisms, especially after concerns were raised by several trade associations about arbitrary assessments and opaque decision-making in some customs areas.
In 2023, CBIC conducted nationwide rotation of officers and vigilance review in sensitive customs locations to prevent collusive practices. Beginning in 2024, it also introduced faceless assessment reforms designed to reduce the physical interface between importers and authorities – part of a broader “ease of doing business” initiative in the trade facilitation sector.
Despite these reforms, some local irregularities remain. Trade experts say the Wintrack episode is symptomatic of the interface gap between system-driven reforms and ground-level implementation. “Even the best digital processes need to be supported by strong ethical accountability and frequent oversight,” said a senior Customs advisor, adding that CBIC’s current response “shows an institutional maturity to act quickly before systemic credibility is undermined.”
Balancing integrity with business convenience
The investigation and corrective measures come at a critical juncture for India’s trade administration, as the customs system is evolving to support India’s $2 trillion export-import ambitions. The Government has repeatedly stressed that integrity and efficiency must go hand in hand, and enforcement should not be at the expense of genuine business convenience.
“Customs is the first interface for many businesses entering the Indian market,” said a former CBIC member. “Ensuring clean, transparent and technology-driven processes not only enhances investor confidence but also has a direct impact on India’s trade competitiveness.”
Therefore, the formation of the new task force is not only a response to an isolated complaint, but also a broader gesture of institutional reform and accountability. By mandating public disclosure of timely vigilance results and follow-up actions, the CBIC is attempting to close the loop between investigation, systemic reforms and public transparency.
the way forward
Over the next six weeks, the vigilance probe is expected to determine whether the procedural lapses at Chennai Customs were isolated incidents or indicative of a deeper systemic issue. The findings may also influence policy refinements in customs inspection, digital surveillance and broker regulation.
For India’s business ecosystem – especially MSMEs and small importers who are often dependent on middlemen – the outcome will be closely watched. As the CBIC continues to balance enforcement rigor with ease of doing business, this case could become a template for transparent reformative governance within India’s indirect tax and customs framework.
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