Mumbai, 6 April 2022
Anti-Evasion Unit of Mumbai South CGST Commissionerate, has smashed a fake ITC racket and arrested the proprietor of M/s Stallone Overseas today. This firm was engaged in availing and passing on of fake GST Input tax Credit (ITC) of Rs. 18 Cr by using bogus invoices of more than Rs 98 Cr.
Based on the tip of the Central Intelligence Unit of the Central Goods and Service Tax (CGST) Mumbai Zone, a team from Anti-Evasion Wing of Mumbai South CGST Commissionerate initiated an investigation, which has revealed that this firm has availed fake ITC on the bogus invoices issued by more than 14 non-existent firms/entities and passed on this fake ITC to other firms.
The accused was arrested on April 06, 2022 under Section 69 of the CGST Act for committal of offences under Section 132(1)(b), 132(1)(c) read with Section 132(5) of CGST Act. He was produced before Additional CMM court Mumbai on 06.04.2022. He was sent to judicial custody of 14 days.
This case is a part of Anti-Evasion drive launched by CGST, Mumbai Zone against the tax evaders. As a part of this drive, CGST Mumbai South Commissionerate has detected tax evasion of Rs 642 Crores approx., recovered Rs. 10.89 Crores approx. and arrested 8 persons during the last seven months. The CGST department is using data analytics and network analysis tools to identify potential tax evaders and also coordinating with other tax authorities for nabbing tax evaders. The department is going to intensify this anti-evasion drive in the coming days.
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