NAGPUR: The directorate general of GST intelligence (DGGSTI) Nagpur zone has unearthed fake input tax credit (ITC) claims to the tune of Rs118.12 crore through allegedly fictitious transactions worth over Rs656 crore. So far, Rs7.27 crore have been recovered on the spot, said a press release issued by the DGGSTI.
In last two months, four persons have been arrested for their alleged involvement in such frauds.
The agency has come across a number of fictitious firms through which such deals were recorded. The real firms dealing in commodities from steel to spices have been booking fake purchases against the name of such shell companies to avail ITC, the release said.