MEERUT: In a major operation against firms which availed
fraudulent Input Tax Credit (ITC) under Goods and Services Tax (GST)
regime, the sleuths of Directorate General of GST Intelligence (DGGI),
Meerut Zonal Unit conducted searches at multiple locations in Delhi,
Mumbai, Raipur, Varanasi and
Moradabad unearthing a major scam of fake invoices without supply of goods by a group of people to defraud the government revenue.
DGGI sources said that they did it by way of encashment of
fraudulent ITC availed on fake invoices
through IGST export refund
route. Chartered accountant Gaurav Jindal, 27, has been arrested for
allegedly running the racket. He was sent to Meerut jail for the offence
on Tuesday.
Elaborating on the matter, senior intelligence officer Devender
Kumar said, “These offenders created multiple companies/firms using
either their own PAN card and voter id; or in the name of family members
and employees of their firm solely for the purpose of fake billing
without supply of goods. One such exporting firm involved in the said
racket is GJA Industries ltd, Delhi, which is being controlled and
managed by Jindal. During interrogation he accepted his involvement in
this case and was arrested on Monday.”
During searches it was found that these firms issued fake invoices of
more than Rs 210 crore in value thereby passing on and cashing on input
tax credit of about Rs 50 crore illegally.
“Interestingly these companies or firms are not engaged in normal
business activities as they neither have any godowns for storage nor
they receive or supply goods. They wrongly availed ITC without actual
purchase of goods in their firms/companies and encashed the same by
issuance of export invoices and claiming IGST refund thereon from
customs,” said DGGI intelligence officer Aishwarya Atri.
DGGI, Meerut Zonal Unit alone has detected more than 60 cases
involving duty evasion of more than Rs 250 crore and recovered Rs 121
crore in the past one year.