Chhattisgarh: Businessman held for GST fraud of Rs 10.14 cr in Bilaspur

PTI, Aug 12, 2023, 5:29 PM IST

Abusinessman was arrested by the Central GST in Chhattisgarh’s Bilasput district for allegedly availing and utilising input tax credit (ITC) worth Rs 10.14 crore by issuing bogus invoices, an official said on Saturday.

Officials of the Central GST on Friday arrested Sanjay Shende under relevant provisions of the Central Goods and Services Tax (CGST) Act, the official said.

The authorities had received information that the firms Jyoti Trading & Company, Kliffo Trading Company, S S Industries and Sai Enterprises were involved in large-scale evasion of the GST by availing and utilising fake ITC without receipt of any underlying goods or services.

Officials of the fake invoice & prosecution cell, CGST and Central Excise Raipur raided the premises of these firms, Commissioner CGST Raipur Mohammed Abu Sama said in a statement.

An investigation revealed that Bilaspur resident Shende, who is the proprietor of these companies, was allegedly involved in availing fake ITC, he said.

The accused had availed and utilised Rs 10.14 crore in ITC from 22 non-existent firms based in New Delhi that generated fake invoices without supplying any goods and services, the official said. These non-existing firms issued bogus bills to the four firms run by the accused, he said.

As per the statement, the accused had availed and used the sum from the fake ITC to pay his outward GST liability.

Shende was produced in a court in Raipur, which sent him to judicial custody for 14 days, it was stated.