The Bengaluru Zonal Unit of the Directorate General of GST (Goods and Services Tax) Intelligence said that it has busted several scams by tax evaders and arrested masterminds who created fake invoices worth Rs 1,000 crore. In a press statement, Jane K Nathaniel, Principal Additional Director General, said, â€śThe well-coordinated search operations held across the country during the last few weeks have unearthed GST frauds committed by various entities across the country, including well-established companies, involving fake invoices of Rs 1,000 crores and GST evasion of around Rs 200 crores.â€ť
Among the arrested includes Bialadugu Krishnaiah from Andhra Pradesh, who floated Jump Monkey Promotions India Pvt Ltd in collusion with Chinese nationals, the agency said. â€śThe said company was involved in issuance of fake invoices to well-established Chinese companies across India without any supply of goods/services. The amount of Rs 53 cr transferred by Chinese companies (China Construction Sausum (India) Pvt ltd, Qingdao Constructions, etc.) to M/s Jump Monkey for the said bogus transactions appears to have been utilised for funding pay-outs to companies, individuals and other suspicious Chinese activities in India,â€ť the press statement said.
The agency said Krishaniahâ€™s associates are absconding. It also said Krishnaiah along with the co-accused had indulged in purchase of cryptocurrency (USDT/Tether) and other illegal activities. All the said activities were coordinated by a Chinese national through personal messaging platforms â€“ WeChat and WhatsApp.
In another incident, the agency said a case was registered against Bengaluru-based Benstar Power Technologies India Private Limited for supply of bogus invoices without accompanying goods to various well-established multinational companies in the state of Karnataka.
â€śA major recovery of Rs 12 crores has been effected from one of the recipient multinational companies. The director of M/s Benstar Power Limited and allegedly the mastermind behind the entire schema of fake billing, Mr Suresh Mehta, has been arrested,â€ť the statement said.
In another incident, the agency traced and arrested the mastermind, Kamlesh Mishra, a resident of Delhi, for floating bogus companies across India. These bogus companies have allegedly raised fake invoices worth Rs 500 crores involving GST of around Rs 80 crores. The said GST of Rs 80 crores has been availed by well-established companies spread across India. Consequent to searches conducted at the premises of major recipients located in Mumbai, Hyderabad and Bengaluru, an amount of Rs 15 crores has been recovered till date. Investigations are in progress to identify other beneficiaries to recover the tax liability, the agency said.