A bullion trader was arrested by the Directorate General of GST Intelligence (DGGI) in Rajkot on Thursday for allegedly evading GST worth Rs 44 crore by forging bills and claiming undue input tax credit (ITC).
Hitesh Lodhiya was arrested after the DGGI conducted a search on premises of Astha Trading Company, which trades in gold and silver bars called bullion. Lodhiya is the proprietor of the company. The DGGI, in a statement, said the search led to unearthing of GST fraud involving taxable value of Rs 1,467 crore and availing and passing of fake ITC of Rs 44 crore. Investigation is underway and the quantum of fraud may likely to go up, it added.
Lodhiya was booked under Section 70 of CGST Act, 2017. It added that Lodhiya admitted his involvement in procurement and issuance of fake bills/invoices and passing of fraudulent ITC without actual supply of goods.
Lodhiya made the fake invoice transactions in connivance with middlemen, the agency said, adding that the company did not pay Rs 650 crore to various fake invoice supplier firms.
Source from: https://indianexpress.com/article/india/rajkot-bullion-trader-held-evading-rs-44-cr-gst-8980675/