Mumbai: Chartered Accountant arrested in fake GST invoice case

Pic via Diwakar Sharma

In continuation of the crackdown on the racket of fake invoices under GST, the officers of CGST, Thane, booked a case of issuance of fake invoice and utilisation of inadmissible input tax credit against M/s. Shreeji Creation.

The team acted on the basis of intelligence developed by data analytics.

During the investigations, it was found that the business of the said firm was being operated by a Chartered Accountant Sandesh Chandak. When interrogated, Chandak admitted to the fact that in addition to the said firm, he was operating three other firms in the name of dummy persons.

Chandak was arrested from Borivli.

"The said firms had availed inadmissible input tax credit without receipt of goods or services and had also issued fake invoices without supply of goods or services to various customers who have availed input tax credit on the said invoices and utilized the same for export of goods and availing export incentives," said a senior official from CGST.

Investigations revealed that the total value of invoices issued by the said firms is Rs.64.88 crores and the total amount of tax involved was Rs.11.16 Crores. Chandak was arrested by officers of Anti Evasion wing of CGST, Thane on Feb 12 and he was remanded to judicial custody till Feb 24. Further investigations are in progress.