In a major operation, sleuths of DGGI, the Chennai Zonal unit carried searches lasting two days during the 19th to 20th of December at several premises and unearthed a GST fraud involving rupees Rs.900 Crores, wherein several firms were created using identity documents for gullible people. GST fraud and GST registrations were obtained for issuing invoices fraudulent Input Tax Credit of around Rs. 156 Crores is passed to different firms.
During the investigation, it came to the foe that a person allegedly, the mastermind along with two of his accomplices was involved in creating numerous bogus firms and openings of bank accounts based on the PAN cards and Aadhaar cards obtained from identity leaders, who have been falsely promised bank loans.Cash amounting Rs.24 Lakhs has also seized from the residential premise of the mastermind, which is allegedly the commissioned money earned towards the fraud committed.
Also, search at the residential premises of one the accomplice resulted in the seizure of 100s of PAN and Aadhaar, said to have been collected from the identity leaders mostly women located in the rural areas of Tindivanam and Villupuram on the pretext of helping them secure personal loans under various government schemes.
These documents were purported to be used for floating more bogus firms in order to expand the network of their fraudulent activities. Apart from the PAN and Aadhaar card, photos Entire Cheque books, with signatures on all banks leaves, Debit and Credit cards of the lenders and rubber stamps of various bogus firms already in existence were also seized.
The Mastermind of the racket and two of his accomplices were nabbed and remanded to judicial custody, pending further investigation.
