Fake GST registration racket: CGST Gurugram searches North Delhi; one key accused arrested
The Central Goods and Services Tax (CGST), Gurugram carried out coordinated searches across multiple North Delhi locations while investigating an alleged fake GST registration racket. Officials said forged documents were used to register firms without individuals’ knowledge. Investigators identified 24 fake firms, invoices of Rs 734.95 crore, and suspected ITC misuse; one person was arrested.
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CGST Gurugram carried out coordinated searches at several North Delhi locations. The action linked to a probe into a suspected fake GST registration racket. An official said the searches covered multiple premises in Burari, Swaroop Nagar and Mukundpur. One key individual was arrested on Monday under the CGST Act, 2017.
Officials said the suspected network used forged papers to secure GST registrations. The registrations were then used to create fake firms. These firms were set up without the knowledge of people whose documents were used. The investigation has so far found 24 such firms under the CGST Gurugram jurisdiction.
Fake GST registration racket: scale of suspected invoice and ITC fraud
Investigators said the 24 firms raised fraudulent invoices worth Rs 734.95 crore. Officials said this led to fraudulent availment of ITC worth Rs 143.05 crore. The same set of firms also passed on ITC worth Rs 174.72 crore. The official added that the case remained under further investigation.
The probe also found attempts to expand the suspected network. Officials said the accused had applied for registration of 1,400 fake firms. The same method was used across applications, as per the findings. Authorities said the investigation was continuing to identify more links and involved people.
Fake GST registration racket: searches, IP tracking, and seized evidence
Officials said IP address tracking helped trace places used for GST registrations. Searches at those premises led to seizures of items called incriminating. The recovered material included mobile phones, laptops, documents and SIM cards. Officers also recovered cash of Rs 45.30 lakh from the accused person’s residence.
After the arrest, the accused was produced before the JMFC Court, Gurugram. The court considered the offence serious, the official said. The JMFC Court, Gurugram, viewing the seriousness of the offence, sent the accused person to judicial custody for three days, he added.
Fake GST registration racket: alleged misuse of Job Hai for KYC documents
Investigators said the accused misused a job portal called Job Hai. Officials said adverts offered Security Guard Jobs to attract applicants. The goal was to collect KYC documents of unemployed persons, as per the probe. Authorities said those papers were later used for forged GST registrations, and inquiries remained ongoing.
With inputs from PTI