CGST Chennai Unearths Rs. 34.81 Crore Massive GST Evasion; Copper Firm MD Arrested

The Central Goods and Services Tax (CGST) Chennai North Commissionerate has recently cracked down on a copper wire manufacturing company in the case of GST evasion worth Rs. 34.81 crore. In this context, the managing director of the company has also been arrested. This action has been taken after a massive raid conducted on November 11, 2025, at G and T Pvt Ltd, a firm based in Vadaperumbakka, Tamil Nadu, directed by Prakash Kumar. During the search, officials recovered incriminating documents, digital records, cash slips, quotations, UPI and bank transaction details, flagging large-scale unaccounted sales.

As per the CGST Chennai officials, a turnover of Rs. 193.50 crore had been suppressed by the manufacturer over the time period of five years. This was done by selling copper winding wires and copper strips without issuing GST invoices.

Investigators revealed Kumar received payments via online transfers and in cash from unregistered bank accounts of employees and other individuals. At the time of interrogation, he allegedly confessed to his offence.

The Kumar’s arrest was made under the GST Act, and he was sent back to judicial custody till December 5, 2025. The GST department stated that the present fraud was unearthed just after a massive GST fraud case arose in October. In that fraud, officials exposed a bogus invoice racket worth Rs. 59 crore to ease fraudulent ITC (input tax credit) of Rs. 10.64 crore across 19 distinct companies.