Inter-state GST invoice racket with fake transactions valued at over Rs131 cr busted
20 November 2020
Directorate General of GST Intelligence (DGGI) has busted an inter-state fake invoice racket with fake transactions valued at over Rs131 crore, involving three taxpayers, one based in Maharashtra and two others based in Karnataka.
On the basis of intelligence developed using online tools, DGGI, Nagpur Zonal unit conducted searches in remote areas of Chandrapur District against a taxpayer involved in issuance of fake invoices and availment of fraudulent ITC.
The searches revealed that the taxpayer was fake and non-existent. Further investigations revealed that the documents uploaded on the GST portal as proof of address by the taxpayers like electricity bills etc were all forged and fabricated.
The investigations also revealed the details of two more taxpayers based in Karnataka who were a part of this racket as they were found to have taken GST registration on the same date, had declared the same Bangalore.
The matter has been taken up with the jurisdictional DGGI, Zonal Units for apprehending the kingpin who is reportedly based in Karnataka.