HYDERABAD: After registering a case of GST evasion against five firms based in Medchal and arresting three of its top management representatives recently, the officials of Medchal Central GST commissionerate arrested proprietor of another firm involved in the fraud.
The firm in question, Aavya Enterprises, had taken fraudulent input tax credit (ITC) based on fake invoices received from nine different firms located in Kolkata and Hyderabad, without any receipt of actual goods. The total amount of fraudulent ITC taken based on the fake invoices and in turn utilised to evade GST by Aavya Enterprises is `5.76 crore. The total value of goods involved in these cases is `143 crore and the total fraudulent ITC involved is `25.74 crore.
A statement by M Srinivas, GST principal commissioner, said that investigation is on to identify other firms involved.