Multi-crore GST scam: Three more held, total arrests 18
July 10, 2023
Synopsis
The Noida Police has arrested three additional individuals in a multi-crore goods and services tax (GST) scam, taking the total number of arrests to 19. The scheme has caused a significant loss of revenue to the government. The criminal activity involved thousands of fraudulent companies being set up with forged Aadhar cards, fake invoices, and input tax credits. The three most recent arrests saw the police identify the trio as being part of a larger syndicate.
The Noida Police has arrested three more persons in connection with a multi-crore GST scam which has resulted in loss of revenue to the government, taking the total number of arrests in the case to 18, officials said. The scam pertains to thousands of bogus companies being floated on the basis of forged Aadhar cards, fake invoices being raised by them and input tax credit (ITC) being claimed on their behalf, according to the police.
"The Sector 20 police station here is investigating the GST fraud. On Sunday, the police arrested three persons who were wanted in this case. The trio has been identified as Amit alias Monty (42), Ajay alias Mintu (41) and Mahesh (20). They all were involved in fake invoicing," Additional DCP (Noida) Shakti Mohan Avasthy said.
According to police, the trio is part of a larger syndicate whose 15 members have been arrested earlier.These three accused lived in Sirsa, Haryana and worked for the last five years in the gang.
Their work involved collecting and transferring money received from fake GST Bills and they had transactions in entire NCR and parts of Haryana, police said.
Last month the Noida Police busted a gang involved in what is now known as the "GST Scam" wherein around 3,077 bogus companies were unearthed on whose behalf ITC was being claimed. Initial police investigations showed transactions of around Rs 8,500 crore from these bogus firms, according to senior officials.
The police said they have recovered seven mobile phones with fraudulently procured SIM cards, three Aadhar cards, six tax invoice documents, and impounded two cars from the trio on Sunday.
The accused have been booked under Indian Penal Code sections 420 (cheating), 467, 468 and 471 (all related to forgery), 120 B (party to criminal conspiracy) and sent to jail, police added.
[The Economic Times]
