The Directorate General of GST Intelligence (DGGI), Regional Unit, Rohtak (Haryana) has arrested Sunny Singhal of Panipat, who was allegedly found involved in issuing fake invoices from various firms without the actual movement of goods having a taxable value of Rs 146.62 crore and fraudulently passing input tax credit (ITC) amounting to Rs 16.54 crore.
He allegedly passed on such fraudulent ITC to some of the buyers who availed of the same to discharge their GST liability against their outward supplies with an ulterior motive to defraud the Government exchequer, an official press release said.
During the course of the investigation, Singhal admitted that these firms were opened by him in the name of different persons as proprietorship firms. He used to issue bills without movement of goods and for this, he used to earn commission and some of the entries in the diaries/records resumed were of such commission.
Singhal was found to have committed offences under the provisions of Section 132(1)(b)(c) of the Central Goods & Services Tax Act (CGST), 2017, which are cognizable and non-bailable offences under Section 132(5) of the CGST Act, 2017, being punishable under Section 132(1)(l)(i) of the CGST Act, 2017.
He was arrested on June 25 under Section 69(1) of the CGST Act, 2017 and produced in Rohtak Court the next day. The court has sent him to judicial custody till July 9. During the investigations conducted so far into the fake billing racket in this case, DGGI, Regional Unit, Rohtak has recovered an amount of Rs 3.75 crore from the GST evaded. Further investigations in the matter are in progress, the release added.
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