Central Bureau of Investigation (CBI) has booked Cadbury India Private Limited (now known as Mondelez Foods Private Limited) for corruption.
The FIR is an outcome of a preliminary enquiry, which showed that the company allegedly “paid bribes, misrepresented facts and manipulated records to fraudulently avail area-based exemption benefits (Central Excise and Income Tax) in Baddi, Himachal Pradesh, knowing fully well that they were not entitled to avail area-based tax exemption benefits,” said the CBI said.
Sources also said that CBI conducted searches at the premises of the accused in 10 locations in Solan, Baddi, Mohali, Pinjore and Mumbai and recovered incriminating materials.
“For availing the same, some members of the executive board of the company, along with key managers, collectively decided to manipulate records, engage intermediaries to route bribes and cover up all the evidence that had surfaced during the internal investigation,” the CBI has alleged.
Sources in the agency said Cadbury India, in conspiracy with Central Excise officials, had availed excise benefits to the tune of ₹ 241 crore for its unit for manufacturing 5 Star and Gems in Himachal Pradesh. The alleged irregularities took place between 2009 and 2011.
The CBI said that in 2007, the company had proposed to create a unit in Baddi to avail exemption from excise duty and income tax for additional 10 years.
But instead of building a separate unit, Cadbury India expanded the existing unit to avail tax exemption. The unit was built in 2005 to manufacture Bournvita.
