₹1 Crore Mask Deal Fraud: Chandigarh Man Booked for Cheating Beijing Firm

Chandigarh- A resident of Sector 21 Chandigarh has been booked by police for allegedly duping a China-based company of nearly ₹1 crore in a failed medical supply deal dating back to 2020.

According to officials, the accused, identified as Mast Ram, runs a firm named Vam Pharma and is accused of cheating Beijing HJC Import and Exports Co Ltd by accepting advance payment for surgical masks that were never delivered.

The complaint, filed by Rajendra Aggarwal, states that the two companies had entered into an agreement in February 2020 for the supply of five lakh three-ply surgical masks worth $130,000 (approximately ₹1.2 crore). As per the deal, half of the payment was made upfront, with the balance to be cleared before dispatch.

However, the supplier allegedly failed to manufacture or deliver the masks despite repeated assurances that the products would meet international quality standards. The buyer reportedly made several attempts over the years to recover the funds but received no response.

Police said that in July 2022, the accused signed a Memorandum of Understanding promising to refund the amount. During this period, around ₹40 lakh from the advance was allegedly transferred to another firm, PBL Pharmaceutical Pvt Ltd.

Authorities added that necessary permissions for international remittance were secured through the Reserve Bank of India and associated banks. Although the transferred amount was later returned to the accused’s firm account in 2024, it was allegedly misused for personal purposes instead of being refunded to the complainant.

Initially recorded as a complaint in March 2023, the matter has now been converted into a formal FIR at the Sector 31 police station to facilitate recovery of the funds. Police confirmed that the accused has not yet been arrested and further investigation is ongoing.