TMT Bar Suppliers arrested for GST Evasion of Rs.150 Crore

The Goods and Service Tax Department’s Intelligence wing has arrested three TMT bar suppliers for doing illegal business worth Rs.834 crore, resulting in GST evasion of Rs.150 crore.

On basis of information received, the intelligence team has launched simultaneous search operations at the properties of three significant taxpayers involved in the supply of TMT bars based on information.

An investigation found that the three firms were consistently engaging in the illegal clearance of TMT bars without invoicing. The payments for such sales were made entirely in cash and were not reported to the Tax authorities.

“These fraudulent activities were being systematically controlled from a covert location far away from the registered business premises to avoid the department’s scrutiny,” claimed GST officials.

The investigations uncovered a significant number of fraudulent clearances made at various stages of the supply chain without payment of GST. Numerous incriminating documents were discovered on the premises of these organisations. Three people have been arrested, and the investigation is continuing.