CGST arrested Vapi’s scrap dealer for claiming Rs 5.98 Cr ITC on bogus bills
The scrap dealer had taken bogus bills to claim Rs 5.58 Crore worth of ITC
Surat (Gujarat) [India], November 27: The Central Goods and Service Tax (CGST) department arrested Rameshchandra Tulsidas Agarwal, the proprietor of Vapi-based Manish Scrap Traders, on Friday in connection with the fake invoice racket and fraudulently claiming Rs 5.98 crore in Input Tax Credit (ITC).
Official sources said that Rameshchandra Agarwal is the owner of many firms in Surat and Vapi dealing in the scrap business. Agarwal, who was arrested by the CGST officials on Friday, was presented in the Surat district and sessions court on Saturday, where he has been remanded in judicial custody for 14 days.
According to detailed information received from departmental sources, for the past several months, the Central GST Department is taking extensive action against those involved in bogus billing. In this episode, based on intelligence received by the department, Rameshchandra Tulsidas Aggarwal, director of Manish Traders of Vapi, purchased fake bills of Rs 5.98 crore from One Ten Steel, Prime Metal, Magnus Metal, Crystal Metal, RJ Traders, Decent Steel, and Global Traders to fraudulently claim ITC.
Based on intelligence, the departmental officers raided Manish Traders and seized documents related to claiming ITC illegally. In his statement recorded with the department, Ramesh Chandra Aggarwal confessed his crime.