The officers of the Directorate General of GST Intelligence, Vijayawada, and Regional Unit of Visakhapatnam Zonal Unit, have apprehended a 35-year-old resident of Hyderabad who had set up 21 fake entities, predominantly in Andhra Pradesh and Telangana and used them to create a complex network of fake ITC (Input Tax Credit) here on Friday.
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These entities managed by the arrested individual generated fake invoices to the tune of around ₹262 crore, involving passing on fake ITC to many functional companies to the tune of ₹25.5 crore, thereby enabling them to fraudulently utilise the same and evade payment of taxes.
Incidentally, the said individual has been earlier arrested in 2021 by this office for his involvement in generating fake invoices to the tune of around ₹265 crore and passing on fake ITC of ₹31 crore.
Since inception of GST, Vizag DGGI, has detected and booked over 200 fake ITC cases, leading to detection of tax evasion to the tune of ₹275 crore and made 10 arrests of organised racketeers in bill-trading.
Recovery of ₹200 crore has also been made during these investigations.