ED Seizes Assets in Rs 40 Crore Fake ITC Scam

The Enforcement Directorate seized assets worth Rs 40 crore, including cash and bank lockers, in a money laundering case involving bogus input tax credit claims in Haryana. The case is linked to multiple FIRs filed in 2020, highlighting false ITC claims and connivance with tax officers.

The Enforcement Directorate (ED) announced Friday it had seized assets valued at Rs 40 crore, including bank lockers and over Rs 16 lakh in cash, following raids targeting Haryana officials and private individuals embroiled in a money laundering case linked to fake input tax credit (ITC) claims.

The ED's operation, carried out on July 9, spanned 14 locations across Haryana and Punjab. This case emerges from several FIRs filed by Haryana Police in 2020, accusing parties of fabricating ITC claims and securing fraudulent refunds. These actions reportedly involved collusion with officials from the Excise and Taxation Department, inflicting substantial losses on the government's revenue.

Properties worth crores, sourced from fictitious firms set up by syndicate members, were seized. High-ranking retired officials, including former excise and taxation officer Ashok Sukhija, were implicated. Incriminating documents and unaccounted cash were among the items confiscated. The scheme exploited 'C' forms meant for inter-state sale refunds, resulting in significant financial damage to the exchequer.