Mumbai: CGST busts fake invoices racket, one arrested
India Today
The arrested person had created multiple bogus invoices in the name of firms, including Karnataka Jewellers, Balaji Enterprises and Kismat Enterprises.
Officers of Central Goods and Services Tax (CGST), Mumbai, busted a network of fictitious firms that issued fake invoices of bullion of around Rs 1,650 crores and fake Input Tax Credit (ITC) of Rs 49.7 crore and arrested an accused.
The accused has been remanded to judicial custody by Additional CMM Court, Mumbai.
The arrested person had created multiple bogus invoices in the name of firms, including Karnataka Jewellers, Balaji Enterprises and Kismat Enterprises.
These three entities had collectively availed and passed on a fake ITC of Rs 29.4 crore to another entity, Gajamukhi Bullion, which further passed a part of this fake ITC of Rs 20.27 crore to Golden Bullion, without actual movement of goods or services.
The proprietor of Golden Bullion was arrested in the past, informed Additional Commissioner, Mumbai South Rajiv Shankar. Detailed investigations revealed that the arrested person was creating fictitious firms at various locations, including Mumbai, Belgaum and Bikaner, for monetary gains.
Based on material evidence and his confession, he was arrested under Section 69 of the CGST Act. He was produced before Additional CMM court in Mumbai on February 3 and was sent to judicial custody for 14 days.
Efforts are underway to apprehend other people involved in this network.
