The zonal unit of Director General of GST Intelligence (DGGI) has arrested a 69-year-old man for violation of CGST Act by allegedly issuing fake invoices without actual supply of goods to avail Input Tax Credit (ITC) fraudulently. The total value involved in the fake invoices issued by 11 firms operated by accused Subhash Chandra Tyagi is Rs 669.23 crore, involving total ITC of Rs 33.50 crore.
DGGI officials arrested Tyagi on Tuesday evening for the offences committed under Section 132(1)(b),(c),(f) and (l) of the CGST Act, 2017, which are punishable under provisions of Section 132(1), (i) and (iv) read with Section 132 (5) of the CGST Act. The accused has been sent to judicial custody till January 22. Based on intelligence, an investigation was initiated against Tyagi, proprietor of M/s Shri Sai Trading Company, Jaipur. “He was involved in creation of fake firms and issuing fake invoices without actual supply of goods, resulting in fraudulent availment of ITC on such invoices,” said an officer.