Credit fraud

Delhi: CGST officials arrest man for fraudulent input tax credit of around Rs 94 crore



oi-Sneha Kulkarni


Agents from CGST Delhi North Commissionerate arrested a person for approximately Rs 94 crore of input tax credit fraud. As a result of data analysis and intelligence gathering, officers from the CGST police station in North Delhi focused on Shri Krishan Kumar, who was involved in the development and management of bogus businesses using the documents. identity of friends / employees.

According to the investigation so far, he has created five bogus companies, including M / s Shradha Merchants, M / s Anshara Impex, M / s Vijeta Enterprises, M / s SM Agencies and M / s Deepasha Sales, to issue of goods – minus invoices for commodities including butter, ghee and oil, and transfers an ineligible input tax credit (ITC) of Rs. 94 crores.

Incriminating documents such as ATM cards, signed checks, bank documents, stamps of these fake companies, including the stamp of the transport company as shown on the electronic waybills of forged companies, and outer packaging / cases cell phone SIM cards used for business registration were discovered during the search of his home.

Similarly, officers from the Anti-Avoidance Division of the Central Goods and Services Tax Commission (CGST), Delhi (West), discovered an ineligible use / use case of the input tax credit (ITC) and transmission by fewer goods. bills totaling Rs 9 crore, based on unique intelligence (approx).

The operation resulted in the formation of several companies with the aim of obtaining / using and transmitting ineligible credits. M / s Ishita Ispat and M / s HM Trading Company are the main beneficiaries of this network, Sh. Naveen Bansal as the de facto owner and operator of the other two companies, as he officially acknowledged. These companies trade in scrap metal and work to obtain ineligible ITCs by forging invoices. Ch. Naveen Bansal voluntarily admitted his guilt in a letter.

The Delhi area has worked hard to fight the GST evasion, resulting in the discovery of Rs. 5,319.6 crore during the current fiscal year and the arrest of 41 people.

Article first published: Saturday, March 27, 2021, 9:55 a.m. [IST]



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