ED Conducts Searches at Nine Locations in UP and Haryana Over Rs 9.63 Crore GST Fraud:

The Enforcement Directorate (ED) on Monday carried out searches at multiple locations in Uttar Pradesh (UP) and Haryana in connection with an Rs 9.63 crore GST fraud case as part of a money laundering investigation.

The action was carried out under the Prevention of Money Laundering Act (PMLA) at a total of nine locations, including Uttar Pradesh's Muzaffarnagar, Ghaziabad, and Haryana's Faridabad.

The case relates to Jambudwip Exports and Imports, which is accused of generating and passing bogus Input Tax Credit (ITC) through fake invoices and e-way bills without any actual movement of goods.

According to the ED, the company allegedly used circular transactions to move funds between entities and layered the money through multiple bogus or non-existent firms. Cash was also allegedly withdrawn through these entities.

GST authorities have established fraudulent availment of ITC amounting to Rs 9.63 crore, resulting in a wrongful loss to the government exchequer.

The ED said the searches were conducted to trace the alleged proceeds of crime, identify other beneficiaries involved in the network, and recover important documentary and digital evidence related to the suspected fraudulent ITC transactions.

Jambudwip Exports and Imports could not be contacted immediately for its response to the ED's search operation.