DGGI Ghaziabad Officials Bust Bogus Network of 275 Firms Involving Fake Invoices of more than Rs.3,100 Crore

The Ghaziabad Regional Unit of the Directorate of Goods and Service Tax Intelligence exposed a syndicate that was involved in the creation and control of bogus firms, as well as the issuing of bills by these fraudulent firms without the delivery of any goods or services and the encashment of GST refunds.

Following the development of precise intelligence, two office locations were searched, yielding various incriminating documents/items pertaining to over 200 fake firms, including mobile phones, digital signatures, debit cards, PAN cards, Aadhaar cards, photos of people, rent agreements, laptops, pen drives, rubber stamps, office keys, SIM cards, cheque books, and some Kuccha records.

In addition, an in-depth examination discovered that this network’s data is being collated and used from the cloud. Following an examination of the facts and data, it was discovered that this network comprises of 275 fictitious companies that only exist on paper. These companies have issued fraudulent invoices for Rs 3,189 crore, resulting in a total GST evasion of Rs 362 crore.

Sh. Tinku Yadav, one of the major individuals who was crucial in the collection of IDs of individuals for the construction of phoney firms, was detained earlier. The actual masterminds of the network, Sh. Vipin Kumar Gupta alias Nikku, and Sh. Yogesh Mittal, have been apprehended and arrested based on information provided by Sh. Tinku Yadav and analysis of IP addresses. Both Sh. Vipin Kumar Gupta and Shri Yogesh Mittal have been identified as repeat offenders. Both criminals were previously detained by the Directorate of Revenue Intelligence (DRI) and the Enforcement Directorate (ED).