CGST officials bust network of 23 firms for claiming input tax credit of Rs 91 crore

NEW DELHI: Based upon specific intelligence, the officers of the Anti-Evasion branch of Central Goods and Service Tax (CGST) Commissionerate, Delhi on Sunday, have unearthed a case of utilization and passing on of inadmissible input tax credit (ITC) through goods less invoices of Rs 91 crore.

The modus operandi involved floating of multiple firms with the intent to avail/utilize & passing on of inadmissible credit. The firms involved in this network are Girdhar Enterprises, Arun Sales, Akshay Traders, Shree Padmavati Enterprises and 19 others.

These 23 firms were floated in order to generate goods-less invoices with an intent to pass on fraudulent ITC without paying actual GST to the government. Dinesh Gupta, Shubham Gupta, Vinod Jain and Yogesh Goel were associated in the said business of generating/selling fake invoices.

These entities are dealing in various commodities and involved in generation of goods-less invoices worth Rs. 551 crore and passing inadmissible ITC amounting to Rs. 91crore(approx.). All the three accused tendered their voluntary statement admitting their guilt.

Shubham Gupta, Vinod Jain and Yogesh Goel were arrested under Section 132 of the CGST Act on 10.07.2021 and remanded to judicial custody by the duty Metropolitan Magistrate for 14 days. Further Investigations are in progress.

Delhi Zone has been making sustained efforts to check evasion of GST, leading to detection of Rs. 91.256 crore in the present FY and 3 persons have been arrested in these matters.