CGST Officials held Two Person for GST Fraud

The CGST Officials arrested Two persons in Chhattisgarh’s Raipur city for allegedly forming fake firms and transferring fraudulent input tax credits (ITC) totaling Rs. 5.92 crore by manufacturing bogus invoices.

An official said, a joint team from the Central Goods and Services Tax (CGST) and Central Excise departments searched the locations of several businesses in the city for evidence of potential GST evasion.

According to information provided to the departments, Radha Construction, Ayaz Khan, MantuKazi, Disha Traders, and Mukesh Trader were engaged in widespread GST evasion.

Investigations revealed that the accused Manoj Kumar Valecha and Sparsh Soni allegedly set up a network of these fictitious businesses through which they produced false invoices and distributed fictitious ITCs of Rs. 5.92 crore without providing any products or services, the official said.

The pair were detained in accordance with the CGST Act’s pertinent provisions, he continued.