Stern action is proposed against the 1474 risky exporters

Finance Ministry sources said, the number of such untraceable risky exporters has gone up to 1,474 as on date. The IGST refund is suspended in all such cases where there is adverse report post verification about the exporter or their suppliers. However, Customs officials have been sensitized to expedite refunds to genuine exporters in these difficult COVID-19 days. 
 
According to sources, out of the 1,474 untraceable exporters, 1,125 exporters are from Delhi alone. Non-existing exporters have also been detected in large numbers at Surat, Thane, Faridabad and Kolkata. 

These fraudulent exporters were mainly involved in export of ready-made garments, wallpaper, wall coverings, leather apparel, smoking pipes, mobile phones, cigarette holders, footwear, plastics, floor covering and ball bearings or roller bearings.

Out of the non-traceable 7 Star Exporters, five operated from Delhi, and one each from Mumbai and Kolkata. Adverse reports have been received in respect of other 3 Star Exporters, two in Mumbai and one in Jaipur.
 
The Ministry sources said that so far, IGST refunds of more than Rs 1.37 lakh crore have been disbursed and only about Rs 2,026 crore is pending, which is being processed as per law. 

A grievance redressal mechanism with a 24×7 mobile helpline is available to genuine exporters to resolve refund related issues.