Bullion Trader arrested for evading GST of Rs. 44 Crore

The Directorate General of GST Intelligence (DGGI) has arrested Bullion Trader for allegedly evading GST of Rs. 44 Crore by forging bills and claiming excessive ITC (input tax credit).

Hitesh Lodhiya was arrested following a search of the premises of Astha Trading Company, which trades in gold and silver bars known as bullion. The business is owned by Lodhiya.

According to the DGGI, the search resulted in the discovery of GST fraud involving a taxable value of Rs. 1,467 crore and the availing and passing of fake ITC worth Rs. 44 crore. The investigation is ongoing, and the amount of fraud is likely to increase, according to the report.

Lodhiya was arrested under Section 70 of the CGST Act of 2017. Lodhiya also admitted his involvement in the procurement and issuance of fake bills/invoices, as well as the passing of fraudulent ITC without actual supply of goods.

The fake invoice transactions were carried out in collusion with middlemen, according to the agency, and the company did not pay Rs 650 crore to various fake invoice supplier firms.