1400 Crore GST Evasion: ED Confirms Former Chief Secretary Somesh as Prime Accused in Evasion Case

The Enforcement Directorate (ED) has named former chief secretary Somesh Kumar as the prime suspect under the Prevention of Money Laundering Act (PMLA), 2002, in connection with a Rs.1400 crore GST evasion in Telangana’s commercial tax department.

ED officials have written to the CTD central computer wing, requesting information from an internal report prepared by its officials on GST evasion.

The ED filed a case based on an FIR filed by the Hyderabad Central Crime Station (CCS) on the matter, which was later transferred to the Crime Investigation Department (CID), which launched an investigation. The ED is looking into the money laundering component of GST evasion.

In the letter, ED officials stated that the Hyderabad CCS had filed cases against Somesh Kumar and others for alleged GST violations. It is also disclosed that other cases were masked by service providers, and GST evasion totalling Rs.1400 crore was discovered through fraudulent cases reported in the state.

ED officials requested certified copies of all communications and reports listed in the references, as well as specifics such as forensic audit reports conducted by the state audit department and CDAC. The agency officials sought specifics of the agreement reached between the CTD and IIT-Hyderabad, as well as data on all detected cases in which masking took place at IIT-Hyderabad and any additional information relevant to the case.

After getting the necessary details about the GST evasion, ED officials will launch an investigation after serving notices to the accused and suspect, Somesh Kumar.