Kanpur’s Crime Branch exposed a fake GST gang that obtained GST registration numbers by creating fake and non-existent firms using forged documents and then caused losses worth crores to govt revenue by misusing Input Tax Credit (ITC) through fake tax invoices and e-way bills without any actual purchase or sale of goods.
Police have arrested the mastermind CA and one associate of the gang on the basis of internet IP numbers.
DCP crime Shravan Kumar Singh, during a press conference held on Sunday, said that the gang carried out fraud worth crores of rupees from Kanpur to several districts of UP. Hundreds of FIRs were registered across the state, he said.
The DCP said that in Kanpur, based on the information received from the State Tax Department, a case of fake GST registration in the name of Apoorva Trading Company came to light in Kalyanpur police station area. An FIR was registered at Kalyanpur police station in the matter, and the investigation was transferred to the Crime Branch.
When the Crime Branch started the investigation, no actual business activity was found at the firm’s declared business location in Mehrban Singh Ka Purwa. According to locals, neither was any business operated there nor did the concerned person lived there.
The registered mobile number associated with the firm was found to be switched off. During investigation, it became clear that Apoorva Trading Company was a bogus firm through which fake tax invoices and e-way bills were generated by showing outward supply to other fake firms.
During the year 2019-20, the accused committed tax evasion of more than Rs 2.66 crore, including approximately Rs 2.54 crore in tax and Rs 12.71 lakh in penalty.
Police arrested CA Kamal Gaurav Sahu, a resident of Barra Adarsh Nagar, and Etisham Husain, a resident of Rawatpur. Both were sent to jail after being presented in court. Police have recovered bank cards, Android and iPhone mobiles, GST registration, e-way bills, fake invoices and other important documents from the accused.
Source from: https://timesofindia.indiatimes.com/city/kanpur/crime-branch-busts-fake-gst-gang-two-arrested/articleshowprint/128083117.cms
