GST officials have busted 23 fake companies making fake invoices. These firms are accused of defrauding the government to the tune of Rs 551 crore.
GST officials have busted a network of 23 entities involved in creating fake invoices worth Rs 551 crore and passing of unacceptable input tax credit of Rs 91 crore. This was disclosed by the Finance Ministry itself. According to the department, based on specific intelligence inputs, the Central Goods and Services Tax (CGST) Commissionerate, Delhi (West) unearthed the case of fraud in availing Tax Credit (ITC).
The firms included in this network are M/s Girdhar Enterprises, M/s Arun Sales, M/s Akshay Traders, M/s Shree Padmavati Enterprises and 19 others. These 23 firms were formed to collect bills without sale of goods and pay ITC further.
These organizations were working in different things. During the same period, the firms committed fraud of making non-consignment invoices worth Rs 551 crore and passing unacceptable ITC of about Rs 91 crore. Negligence was found in the methods of working on them. At the same time, companies are accused of wrongly taking advantage of unacceptable credit and getting it passed. In this regard, action is being taken against the accused by the department.
The ministry says that the late Dinesh Gupta, Shubham Gupta, Vinod Jain and Yogesh Goyal were involved in the business of making/selling fake invoices. All the three accused have given their statement voluntarily, admitting their crime. Therefore, all three were arrested on July 10 under Section 132 of the CGST Act and sent to judicial custody. Further investigation is on on this issue. Along with this, other cases are also being investigated.
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