GST Fake Credit: Director of Company arrested by Cyber cell for claiming false ITC worth Rs 16.50 crore

On Friday, the UP police cyber cell arrested a director of a bogus company for claiming a false GST (Goods and Sales Tax) input tax credit worth Rs 16.50 crore. Alok Jaiswal, a resident of Gonda, has been arrested.

On December 1, 2020, a case was filed against Alok Jaiswal at the Aminabad police station on the complaint of Assistant Commissioner GST, Kumar Ankit.

A preliminary inquiry was conducted by Lucknow’s Aminabad police, but due to the magnitude and scope of the case, it was transferred to the UP police cyber unit, according to an official. The state government revised the E-Way bill for transportation of products to ensure that every purchase information is received by the department, but the accused constructed a phoney firm to avoid GST (Goods and Service Tax) evasion, according to SP, Cyber Cell, Triveni Singh.

Hundreds of crores of rupees in GST (Goods and Services Tax) were evaded by the accused through illegal purchases and sales.

There was no physical presence of the alleged fraudulent firm/company upon investigation.

In 2020, the accused was also apprehended by the Delhi police’s special cell, according to Singh.