Two men have been arrested for engineering a massive fraud involving fake rubber stamps and fraudulent GST input tax credit. The total value of these illicit transactions is estimated to be around Rs. 1,000 crore. CID crime and railway officials arrested Umang Darji and Ravi Soni in this connection on Sunday. In this elaborate scheme, the due allegedly misused the GST numbers of various entities to create fake invoices for goods such as gold, silver, software and cement, facilitating tax evasion and earning hefty commissions.
During a raid at Darji’s office in Ahmedabad on Friday, authorities uncovered the full extent of the operation.
Darji was found manufacturing fake rubber stamps under the pretence of accounting, which were then used to obtain bogus GST input tax credits. The investigation revealed that Darji also misused the bank accounts of registered political parties and trusts, depositing funds as donations.
These funds were transferred and withdrawn under falsified expenses, with the money being funnelled back to the donors through various channels.
Read more at: The Times of India
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