GST Intelligence arrests Delhi-based fraudster for forging Rs 392 cr input tax credit

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Kabir, the accused, created multiple proprietary companies merely on paper based in Gurgaon, New Delhi, Faridabad, Solan, Noida, Jhajjhar, Sirsa etc

The Directorate General of GST Intelligence (DGGI) has arrested a person on charges of creating and operating fictitious firms on forged documents and passing fake input tax credit to the tune of Rs 392 crore in Delhi.

DGGI’s  Gurugram Zonal Unit in Haryana arrested the accused identified as Kabir Kumar, a resident of New Delhi, for creating and operating fictitious firms on forged documents and passing fake input tax credit by way of issuance of invoices without any actual receipt or supply of goods or services, said the Finance Ministry.

During the investigation, it was found that that Kabir created multiple proprietary companies merely on paper based in Gurgaon, New Delhi, Faridabad, Solan, Noida, Jhajjhar, Sirsa etc. During the investigation of his premises, it was revealed that Kabir had also tried to flee the city. But he was prevented from doing so at the Delhi airport by the DGGI sleuths with the support of Customs and CISF officials.

The accused during interrogation admitted to creation of 31 firms which have generated bogus invoices without actual supply of goods amounting to Rs 2993.86 crore and ITC amounting to Rs 392.37 crore. Multiple evidences, such as laptop, mobile phones and 140 SIM cards were recovered from his possession.

The investigation spanned multiple locations in Delhi and based on documentary evidence and statement recorded, it was established that Kabir is the key person in orchestrating this racket of making fake firms on forged documents.

Accordingly, Kabir was arrested today and produced before Duty Magistrate, Delhi, who ordered judicial custody. A total fake ITC of more than Rs 392 crore has been thus passed by the accused.

Further investigation in the case is under progress.

Image credit: Business Line

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