GST Evasion: 8th pass mastermind created 1500 dummy companies, evaded GST worth 2700 crores

The mastermind created 1500 fictitious firms used to commit the 2700 crore GST fraud has been detained in Surat, Gujarat. In the name of a chemical and junk business, the accused submitted false invoices. This mastermind perpetrated a 901 crore GST scam by himself. The total number of participants in the scam is 35. 19 of these have been apprehended, while 16 are still at large.

Sufiyan Kapadia, the mastermind of the GST scam, was taken into custody on Thursday by the Surat Police’s Economic Cell. Sufiyan started the practise of evading the GST. Then, using false documentation to establish fictitious companies, he obtained input tax credits through false billing.

How the millions of dollars utilised in the GST scam were spent is still unknown. Numerous fictitious businesses, including AB Enterprise, Baria Enterprise, Ganesh Enterprise, and Jai Ambe Enterprise, have reportedly been established using many people’s forged documents, according to reliable sources with the police. By obtaining a GST licence, a bank account has been formed in that company’s name. By conducting business unlawfully while using a bank account, input tax credit was obtained.

Additionally, more than 250 fictitious businesses registered in 15 states

According to ACP Virjeet Singh, the accused formed more than 250 firms in 15 other states outside Gujarat. Usman, who was a part of this ring, was first detained in Bhavnagar. He used to run a GST evasion ring out of Surat and Bhavnagar. Sufiyan Kapadia, the scam’s mastermind, was running away when the Economic Cell in Surat apprehended him. In Surat, Sufiyan had founded 8 fictitious businesses.