Mangaluru: GST sleuths unearth fake invoices fraud worth Rs 83 crore

Daijiworld Media Network – Mangaluru (RJP)

Mangaluru, Jun 10: Officers of the anti-evasion wing of Mangaluru Central GST Commissionerate booked an offence case of fake invoices and evasion of GST against Thouheed Scrap Dealer and M K Traders. The said firms had taken fraudulent input tax credit (ITC) based on ‘Fake Invoices’ received from different firms and entities, without actual receipt of the goods. Two persons stand arrested for the alleged fraud.

The fraudulent ITC taken was utilized by the accused for evasion of GST payable by them on their supplies of metal scrap, procured from local unregistered dealers without payment of GST, to the manufacturers of aluminum, MS, copper- rods, ingots, castings etc. They are also involved in raising fake invoices to transfer fake ITC credit further in the fake invoice chain. The offence involved falls under the cognizable and non-bailable offence as per provisions of Section 132 of the CGST Act, attracting inter alia, the provisions for arrest under Section 69 of CGST Act.

P K Abdul Raheem, proprietor of Thouheed Scrap Dealer and Abdul Khadar Kuloor Chayebba, proprietor of M K Traders are the arrested persons. The arrests were made on Sunday, June 9.

The total amount of fraudulent ITC taken and utilized based on the fake invoices by Thouheed Scrap dealer and M K Traders is Rs 15 crore approximately and the total value of goods involved in this case is Rs 83 crore approximately.

Investigation is in progress to trace further leads to identify other firms involved in the fake invoice racket.

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Title : Mangaluru: GST sleuths unearth fake invoices fraud worth Rs 83 crore


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