Inter-state fake invoice racket busted

    New Delhi (NVI): The Directorate General of Goods & Services Tax Intelligence (DGGI) of Nagpur Zonal Unit has busted an Inter-State fake invoice racket with transactions valued at over Rs 131 crore.

    The fake invoice involved three taxpayers, one based in Maharashtra and two based in Karnataka.

    According to an official statement, “Searches were conducted in remote areas of Chandrapur district, Maharashtra against a Taxpayer involved in issuance of fake invoices and availment of fraudulent ITC.

    In addition, 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.

    It 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 e-mail addresses in REG 01 and were sole suppliers or buyers of each other,

    The total fraudulent ITC detected was Rs 26.09 crore which involved total 3 entities and services involved were works contract services and labour supply, the statement noted.

    However, the matter has been taken up with the jurisdictional DGGI, Zonal Units for apprehending the kingpin who is reportedly based in Karnataka.

    -RJV