Officials from the Directorate General of GST Intelligence conducted raids at the residence and premises of a businessman in Hosur and busted a fake bill trading racket through which Input Tax Credit of ₹25.4 crore was claimed.
A release said that officials during the raid on November 19 found that fake bills were generated and fraudulently passed on as Input Tax Credit to manufacturers and traders in Benguluru and Hosur.
The taxable value of the fake bills amounted to ₹141 crore.
The accused had registered five GST numbers using PAN cards of his kin and friends. Officials seized printed bill books, cheque books of bank accounts attached to the firm and signed cheque leaves during the raid.
Officials said in a release that the proxy firms set up by the accused had availed or passed on the Input Tax Credit without actual supply or receipt of goods. Investigation is continuing, they added.
