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Rakt Chandan Racket Busted: Syndicate Used Coconut Fibre Cover to Exploit Customs Loophole via Pune

A major breakthrough in the red sandalwood (Rakt Chandan) smuggling case has revealed Pune’s growing role as a critical transit point for the illegal export of this endangered wood to foreign countries, primarily through Mumbai’s Jawaharlal Nehru Port (JNPT).

The Pimpri-Chinchwad Police recently arrested a key suspect, Rajendra Vitthal Shinde, 43, from Vashi in Navi Mumbai, believed to be one of the masterminds of the syndicate. His interrogation led to the arrest of Tausif Riyaz Jamadar, who allegedly used a false identity—Kalpesh Singh—to secure Customs clearance for illegal shipments.

The case came to light in March this year, when a crime branch team led by Assistant Police Inspector Mahesh Khande and Sub Inspector Bharat Gosavi intercepted a suspicious container near the old Urse toll plaza on the Pune–Mumbai Expressway. Though the container appeared to be carrying only coconut fibre ropes (kathya), a deeper search revealed over 11,490 kg of red sandalwood logs concealed beneath the ropes. The seized consignment is estimated to be worth ₹9 crore.

Two men, container driver Rajaram Gaykhe and cleaner Harpreetsingh Bhadana, were arrested at the scene. An FIR was registered at Shirgaon Parandwadi Police Station under provisions of the Bharatiya Nyaya Sanhita (BNS), the Indian Forest Act, 1927, and the Maharashtra Felling of Trees (Regulation) Act, 1964.

Modus Operandi Exposed

The police investigation has uncovered a sophisticated smuggling route: red sandalwood sourced from Chittoor district in Andhra Pradesh was first transported to Kapurhol village in Pune district. Containers initially loaded with only coconut ropes would head to JNPT and secure gate passes from Customs. During the waiting period—typically 12 to 20 hours—racketeers would return to Pune, reload the hidden red sandalwood, and then re-enter the port with official clearance.

“After securing a gate pass for an innocuous consignment, the smugglers quickly swapped in the red sandalwood and rejoined the export queue,” explained Senior Police Inspector Vijay Dhamal. “The final destination was usually Dubai, from where the contraband was routed to China and Japan.”

Apart from Shinde and Tausif, the police have arrested five others: Shrikant Bhilare, Deepak Sable, Indrajit Mane, and Najir Khan, the latter reportedly linked to the Andhra-based smuggling network. Authorities are currently searching for two more suspects. While Customs clearance was secured fraudulently, no involvement of Customs officials has yet been confirmed.

Pune’s History as a Smuggling Hotspot

This is not the first red sandalwood bust in the region. In July 2024, the Pune unit of the Directorate of Revenue Intelligence (DRI) seized eight metric tonnes of red sanders valued at ₹7.9 crore from a container at JNPT. The wood was hidden behind granite slabs and cement bricks. Five individuals were arrested.

In another case from May 2021, over six tonnes of red sandalwood worth ₹6 crore were seized from a truck in Tathawade. The consignment, destined for international export, was intercepted before reaching the port. Back in April 2018, sandalwood logs were found hidden under empty glass bottles in a container near the Wakad area.

Red Sandalwood: Precious and Protected

Red sandalwood, also known as Red Sanders or Pterocarpus santalinus, is native only to the Seshachalam hills of Andhra Pradesh and Tamil Nadu. It is classified as an endangered species under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES). Its export and import have been banned in India since 1994.

Traditionally used in crafting idols, furniture, and ornamental items, red sandalwood has seen a surge in demand from international markets, especially China. The wood is now sought after for manufacturing herbal medicines, cosmetics, musical instruments, and even luxury sex enhancement pills. Scientists attribute this to the presence of ‘Pterosibilin,’ a compound extracted from the wood.

Ongoing Probe

Deputy Commissioner of Police (Crime), Shivaji Pawar, confirmed the continued investigation into the larger syndicate. “While arrests have been made, we are probing deeper into the network’s operations, funding, and possible institutional lapses.”

With this case, Pune has come under scrutiny as a vital node in an international smuggling chain. Authorities are now working to identify and dismantle the remaining links of the network.

Read More: Timeframe In Which Karnataka High Court Granted Interim Bail In Rs. 665 Cr GST Fraud Case Raises Serious Questions: Supreme Court

Mariya Paliwala
Mariya Paliwalahttps://www.jurishour.in/
Mariya is the Senior Editor at Juris Hour. She has 5+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started as a freelance tax reporter in the leading online legal news companies like LiveLaw & Taxscan.
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