Logistics firm Wintrack quits after accusing Chennai Customs of bribery: What happened and why Union govt is stepping in

The Ministry of Finance on Thursday stepped in following the ongoing dispute between logistics firm Wintrack Inc. and Chennai Customs. The Government has directed the Department of Revenue (DoR) to conduct a “fair, transparent, and fact-based inquiry” into the matter raised by the Chennai-based logistics company.

A senior officer has been deputed to examine all relevant documentary evidence and hear all parties involved, including officials. The Ministry highlighted that recent taxpayer-friendly initiatives, such as faceless customs procedures and appellate bodies, aim to enhance transparency and promote ease of doing business.

“The matter is being dealt with utmost seriousness, and the Government is committed to taking appropriate and expeditious action in accordance with the law,” the Ministry said.

Wintrack Inc’s statement

Wintrack Inc. has announced that it will cease all import and export operations in India. The company attributed the decision to “repeated and unjustified harassment by officials at Chennai Customs over the past 45 days.”

“Earlier this year, when we exposed instances of bribery, we faced retaliatory actions that have severely impacted our ability to conduct business. Despite our best efforts, the sustained pressure has made it impossible to continue operations,” the company said. Wintrack thanked its partners, clients, and supporters for standing by it during this challenging period.

Chennai Customs refutes allegations

Chennai Customs denied the bribery allegations and called claims of harassment and non-cooperation “demonstrably false.”

“This importer has an established pattern of making unsubstantiated allegations of corruption and bribery on this platform, only to delete such posts once factual rebuttals are provided,” the department said.

The department noted that eight boxes of USB charging cables were undeclared in the Bill of Entry, commercial invoice, and packing list, violating Section 111 of the Customs Act, 1962. As the goods contained built-in rechargeable batteries, EPR registration from the Central Pollution Control Board was mandatory under the Battery Waste Management Rules, 2022.

Despite repeated queries on August 29, September 8, and September 29, Wintrack submitted incorrect documentation and made claims of exemptions that were not valid under the rules. “The allegations of harassment and non-cooperation are demonstrably false. The importer was granted personal hearing on September 8 in full accordance with principles of natural justice,” Chennai Customs said.

Bonding permission under Section 49 of the Customs Act was granted on September 11 to help avoid demurrage charges, with postponement accommodated on September 19 at the importer’s request. The department emphasised that no bribes were demanded, and all queries pertained strictly to statutory compliance under Battery Waste Management Rules 2022, BIS Act 2016, Legal Metrology (Packaged Commodities) Rules 2011, and the Customs Act 1962.

Chennai Customs noted that the importer filed identical goods through a related entity on September 12, showing a pattern of systematic evasion rather than inadvertent error. The department added that attempts to intimidate officials during a September 30 meeting have been formally documented.

Chennai Customs affirmed that it will not be deterred by false allegations and remains committed to lawful, transparent, and professional enforcement of regulations designed to protect public health, consumer safety, and environmental standards.