₹2,000 crore diamond hawala scam busted in Surat

A major hawala and money laundering scam worth more than ₹2,000 crore has been exposed in Surat Special Economic Zone (SEZ) by the Directorate of Revenue Intelligence (DRI)’s Vapi team.

The DRI arrested the main accused, Montu Harshadbhai Gandhi from Navsari, for allegedly importing ‘low quality diamonds’ and showing their value much higher on paper before exporting them. Officials said the fake overvaluation was done to get government benefits and subsidies under the Make-in-India and SEZ schemes.

According to the investigation, the accused increased the value of the imported diamonds nearly 50 times while preparing export documents. The scam violated the Customs Act, 1962 and the SEZ Act, 2005.

DRI officials also found that Montu Gandhi used ‘dummy partners’ to run different firms involved in the fraud. One partner told investigators that he was only a partner on paper, while all business deals, financial transactions, and foreign buyer connections were handled by Gandhi himself.

During the investigation, DRI seized digital evidence and important documents, which revealed that the total scam amount could be over ₹2,000 crore. Officials believe the accused had been running similar frauds for a long time through multiple companies.

The DRI presented Montu Gandhi before a Surat court and obtained three days remand for further questioning. Investigators are now examining whether more old scams and other jewellers connected to the racket are involved.

Officials said the accused tried to misuse government policies created to promote exports and support genuine businesses in SEZ areas. By showing fake export values, the firms allegedly attempted to claim illegal financial advantages and avoid customs duties.

The DRI is now checking bank records, export documents, and overseas transactions linked to several companies operating in Surat SEZ. More arrests and deeper investigation are possible in the coming days as officials continue to trace the money trail. The case has created panic among several jewellers operating in Surat SEZ area.