Mango traders depend on hawala for major deals

Nagpur: A sizeable section of Gujarat-based traders, especially those of mango, are learnt to be heavily dependent on hawala channels for their bulk monetary transactions which can attract heavy tax if done through legal channels. Apart from mango traders, those of other commodities like edible oil, jeera (cumin seed), gold, iron and steel are also learnt to be bypassing regular banking transactions.
Sources from the business community said that transactions to the tune of a few lakhs are done on a regular basis through hawala channels as Gandhibagh, Itwari and Central Avenue have become hub of such so-called ‘courier’ services. The illegal system of monetary transfers, bypassing banking sector, is learnt to have become a lifeline of a section of traders during peak business period. It’s also reliably learnt that the local hawala traders are allegedly conducting their business in collusion with a section of cops from local police stations and crime branch.
With rise in supply of mango due to summer, the volume of the hawala trade is set to go up.
A business source also stated that sizeable sections of Andhra Pradesh-based traders too heavily depend on hawala channels for dealing with Gujarat-based mango dealers. “Any transaction which the businessmen find unfeasible to conduct through banking formats which require several formalities are done through hawala,” he said.
Sources stated that many offices of hawala traders were kept shut fearing inquiries after Kotwali police had seized Rs 40 lakh from two representatives of a private cooperative bank last week. The cash was seized as the cooperative bank employees could not furnish details of the accounts relating the money that they were ferrying on scooter. Sources in police said that some hawala traders may be using cooperative banking sector for transactions to avoid enforcement agencies and legal hassles.