DGGI arrests one person for issuing fake invoices with taxable value of Rs 27.99 cr

He passed on such fraudulent ITC to some of the buyers who availed of the same to discharge their GST liability against their outward supplies with an ulterior motive to defraud the Government exchequer, the ministry added. "During the course of investigation, Vikas Jain has admitted his involvement in issuing only invoices without actual movement of goods for earning commission and admitted that cash entries in the records resumed were of such commission which were in his own handwriting," the statement said.

GST investigation arm DGGI has arrested one person involved in issuing fake invoices having taxable value of Rs 27.99 crore, the Finance Ministry said on Tuesday.  "Directorate General of GST Intelligence (DGGI), Regional Unit, Rohtak falling under Gurugram Zonal Unit has arrested one more person namely Vikas Jain, of Jind on November 23," it said in a statement. It said Jain was the proprietor of one of the firms and as a proprietor of a firm was found involved in issuing fake invoices having taxable value of Rs 27.99 crore and was also found involved in handling cash of other such firms issuing fake invoices to pass ITC fraudulently.  Jain's arrest is in pursuance of ongoing investigation of fraudulent passing of Input Tax Credit (ITC) wherein one person namely Satender Kumar Singla of Hisar was arrested on November 12, the ministry said.

"Jain has thus himself committed the offence as well as abetted the commission of offence by issuing fake invoices from various firms without actual movement of goods having taxable value of Rs 75 crore (approximately) and fraudulently passing ITC over Rs 13 crore," it said. He passed on such fraudulent ITC to some of the buyers who availed of the same to discharge their GST liability against their outward supplies with an ulterior motive to defraud the Government exchequer, the ministry added.

"During the course of investigation, Vikas Jain has admitted his involvement in issuing only invoices without actual movement of goods for earning commission and admitted that cash entries in the records resumed were of such commission which were in his own handwriting," the statement said. The Judicial Magistrate, Rohtak, has remanded Jain to judicial custody of 14 days.

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