GST fraud: Three directors of fake firms held in Telangana

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HYDERABAD: Officers of anti-evasion team of Rangareddy commissionerate booked a case for Rs 32.5 crore fake invoices and fraudulent claim of GST refunds against three directors who floated fictitious firms.
The accused — Mukesh Kumar Goel, S Sanjay Joshi and Rahul Aggarwal — created non-existent firms, issued invoices without supplying goods or services and facilitated fraudulent availment of input tax credit. The three accused have been arrested. They claimed refunds on account of inverted tax structure. The accused floated many firms either directly by them or with the help of known persons. The firms claimed input tax credit based on bogus invoices. Firms like Pritam Footwear Corporation, Rajesh Footwear and Yogesh Footwear issued fake GST invoices and e-way bills and facilitated passing of ineligible input tax credit to the tune of Rs 32.5 crore. The accused fraudulently claimed refund to the tune of Rs 19 crore.
Investigations carried out so far have revealed that conspiracy is aimed at duping the exchequer by way of creation of a complex web of inter-connected firms engaged in fraudulent issuance of tax invoices without supply of goods and services.
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