The Directorate General of GST Intelligence, Tiruchi Regional Unit, arrested a chartered accountant in Coimbatore in a case related to issue of fake invoices.
A press release said that officers of the Directorate General of GST Intelligence conducted search operations across Chennai, Tiruppur, and Virudhunagar on June 2 at a number of business premises based on the intelligence that the businesses were issuing of fake invoices without supply of goods, thereby passing on ineligible Input Tax Credit (ITC) to various firms to evade duty.
The searches led to seizure of documents and data, both in physical and digital forms. The available evidence and the statements recorded indicated that the group of firms floated and controlled by a chartered accountant had issued invoices without supply of goods and the total ineligible ITC passed on amounted to ₹ 83 crore.
The auditing office of the mastermind has been declared as the place of business for a number of fake firms without any actual business being carried out from there. Further, no business activity was found to be carried out from most of the other addresses where the firms were registered.
The man who had floated and controlled the group of bogus firms was placed under arrest and produced for judicial custody as the investigations are on, the press release said.
