Chandigarh (Punjab), May 3 : The Directorate General of GST Intelligence (DGGI), Ludhiana, has found that six business entities based in Mandi Gobindgarh, in the Fatehgarh Sahib district of Punjab, were involved in the illegal sale of Rs 647.4 crore, leading to GST evasion of Rs 116.5 crore.
According to a Finance Ministry release, the names of the business entities are Bharat Steel Industry, Ramji Concast, AKM Alloys, KTB Alloys, Shree Salasar Balaji Steel Tubes and Shree Salasar Steel Tubes and Co. They were involved in manufacturing of billets and trading of pipes.
The investigation by DGGI Ludhiana unearthed and seized many pieces of incriminating evidence against these entities.
"These were further corroborated in the voluntary statements made and admitted by the partners and employees of these business entities. The companies were involved in clandestine removal of goods worth Rs 388.8 crore leading to GST evasion of Rs 69.8 crore," the release said.
"They were also found to have been involved in fake invoicing of Rs 258.5 crore, leading to GST evasion of Rs 46.5 crore through fraudulent availment and utilization of Fake Input Tax Credit from non-existent and fictitious business entities," it added.
On May 2, DGGI Ludhiana placed under arrest three men who largely owned and controlled the mentioned business entities, "for their acts leading to GST evasion of Rs 116.5 crore".
The three arrested men have been sent to judicial custody.
DGGI is the Government of India's premier Intelligence and Investigating Agency for GST tax evasion, functioning under the Ministry of Finance.
In order to tackle the menace of GST evasion, the DGGI develops intelligence, especially in new areas of tax evasion, through advanced tools for data analytics besides using its intelligence network across the country to collect such information.
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