Massive GST Fraud Crackdown: Fake Invoices and Tax Evasion Unveiled
The GST Intelligence wing has discovered a significant tax fraud involving fake invoices worth Rs 145 crore, leading to alleged tax evasion of Rs 43 crore. The operation involved fraudulent GST registrations and shell entities. One person has been arrested in connection with the scam.
- Country:
- India
A massive fraud spanning Rs 145 crore in fake invoices has been unearthed by the GST Intelligence wing, sparking significant tax evasion concerns amounting to Rs 43 crore, as reported by the finance ministry on Saturday. Authorities have arrested one person linked to the scam.
According to the preliminary findings by the Directorate General of GST Intelligence (DGGI) in Belagavi, a conspiracy of individuals orchestrated fake GST registrations, exploiting forged documents to illegitimately secure and transfer input tax credit (ITC).
Search operations at the suspect's premises led to the discovery of crucial evidence, including a mobile phone, counterfeit documents, fictitious Aadhaar cards, and photographs spotlighting sham entities. Investigations suggest these non-functional units issued phony invoices and e-way bills without conducting genuine business.
(With inputs from agencies.)
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