Businessman held for Rs 207cr input tax fraud

Mumbai, July 23, 2023

Director General of Goods and Service Tax Intelligence arrested a Ghatkopar businessman for opening 1,790 bogus companies and fraudulently availed Input Tax Credit (ITC) of Rs207 crore. The CGST department arrested Hitesh Chheda, who is accused of running an office at Laxmi Nivas at Charni Road in South Mumbai.

Officials said they received intelligence that people were having a nexus in generating invoices by fraudulently opening bogus companies through KYC documents obtained from individuals and most of these firms were involved in large-scale nexus of bogus billing/fake invoices even as no actual supply of goods took place.

[The Times of India]