GST Fraud exposes 35 Accused and highlights Involvement of Chartered Accountants

In a quickly unfolding investigation into a multi-crore GST scam, thirty-five individuals have been charged, including Siddharth Barad, the nephew of BJP MLA Bhaga Barad. The Ahmedabad Crime Branch, with the help of local police, is vigorously pursuing the suspects, many of whom are still on the run.

The scam has brought to light around 30 chartered accountants in Gujarat, including Ahmedabad, Nadiad, Bhavnagar, and Junagadh. These accountants, who audit over 200 companies, are suspected of supporting tax evasion by validating fake bills for shell companies in exchange for illegal payments. Authorities believe the number of suspects will grow as the investigation progresses.

The Crime Branch has questioned around 30 chartered accountants in cities like as Nadiad, Bhavnagar, and Junagadh.

The accused CAs used to audit and authenticate the entries of fake bills or invoices and other vouchers, knowing they were for shell companies. They did it in exchange for money.

Earlier raids by the Ahmedabad Crime Branch at 14 locations across Gujarat revealed important records, showing a network of over 200 shell companies engaged in tax evasion at large scale. The raids led to the arrest of numerous individuals, including a journalist, as well as the detention of 33 operators involved in the formation of 12 shell companies.

This huge tax fraud has shaken the circles of financial and auditing, with authorities stepping up efforts to bring those responsible to justice.