In a case relating to GST evasion of 66.83 crores, the Goods and Services Tax department has, on Tuesday arrested two persons for evasion of Rs. 66.83 crores in North Chennai.
The arrested persons are identified as Gidilari Srinivasulu and B Rupus, directors of two companies namely, Medley Merchandise Pvt Ltd and DB Merchandise Pvt Ltd.
The accused were allegedly indulged in preparing fake invoices for purchase and sale of goods and receiving commission or claiming the input tax credit.
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GST and excise commissioner of Chennai North M Sreedhar Reddy said the two directors would receive invoices without any goods and availed input tax credit worth Rs 34.47crore.
“The two also issued fake invoices without the supply of any goods and made the receivers avail input tax credit worth Rs 32.36 crore. The two directors received commission both from the seller and the buyer,” said Reddy.
The searches started at the two companies on Monday morning and ended on Tuesday evening with the arrest of the two. The GST commissionerate in Tamil Nadu and Puducherry had detected tax evasion to the extent of Rs 569 crore in 169 cases since July 2017 when GST was implemented.
