Haier, Godrej, Blue Star Face E-Waste Notice

Indian tax authorities have faulted Haier India, Godrej & Boyce and Blue Star for failing to detect fabricated documents submitted by a recycler that authorities said had not carried out actual e-waste processing, according to a government notice reviewed by Reuters.

The August 27 notice also accused the three appliance companies of wrongly claiming tax credits totalling about $714,000 for recycling services that investigators said were never actually provided.

TAX CREDIT CLAIMS
The notice said Haier claimed about $367,900, Godrej & Boyce about $159,700 and Blue Star about $186,600 in tax credits linked to the recycling services.

The recycler identified in the notice was WEEE-PRO Resource Recovery Solutions, which issued compliance certificates used by the companies. The authorities said the companies had not independently verified the collection, transportation, receipt, dismantling or recycling of the e-waste.

Investigators also examined photographs and other documents submitted as evidence of recycling activity. The notice said some photographs had been digitally altered or fabricated, including images that were used to substantiate the movement and processing of e-waste.

COMPANIES' RESPONSE
Godrej & Boyce and Blue Star said they would respond to the notice and remained committed to legal compliance. Blue Star said it had stopped dealing with the recycler, while Haier India said it would cooperate with authorities.

Godrej said it followed government guidelines for recycling, while Blue Star said it had no reason at the time to believe there was an irregularity. Haier India also said it remained committed to complying with applicable laws.

The case comes as Indian authorities increase scrutiny of e-waste recycling and compliance documentation. India is the world's third-largest generator of e-waste after China and the United States, with a significant share of discarded electronics handled through informal recycling channels.