2 Racketeers arrested in Rs 61 Cr fake GST invoice scam in Delhi, web of fraud companies found

New Delhi: Directorate General of GST Intelligence (DGGI) booked a case on 6 March against Aastha Apparels Pvt Ltd & others. Aforesaid companies have fraudulently claimed IGST (Integrated Goods & Services Tax) refunds on the export of goods to the tune of more than Rs 61 crores.

It has been revealed that input tax credit (ITC) has been fraudulently availed by Aastha Apparels Pvt Ltd & others on the basis of invoices received from non-existent/non-functional firms & companies or from companies which have indulged in circular trading.

The said firms/companies also did not have commensurate purchases backwards. It has been further revealed that the supplier companies to these exporter companies are controlled and managed by few persons and they are also engaged in claiming of suspect IGST refunds.

These companies have created a complex web of circular trading among themselves without commensurate payments or actual supplies of goods to pass on ineligible ITC to the Exporters.

Two directors of aforesaid exporter companies have been arrested on 7 March under Section 69(1) of CGST Act, 2017 for offences under provisions of Sections 132(1)(b) & 132(1)(c) of the CGST Act 2017.

The role of suppliers and other persons associated with these exporters is under investigation.


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The ID Staff

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