The Directorate General of GST Intelligence (DGGI), Gurugram Zonal Unit, has arrested two businessmen in connection with the fraudulent issuance of Input Tax Credit (ITC) invoices without actual supply of goods, involving alleged GST evasion of approximately ₹40 crore on a taxable value of around ₹210 crore.
The arrested individuals have been identified as Anil Kumar Jain of Jatalia Global Ventures Ltd and Manoj Garg of Manoj Cables Ltd.
According to officials, the arrests follow an earlier detection of GST evasion amounting to ₹79.21 crore involving taxable transactions worth ₹450 crore in cases linked to MICA Industries Ltd, Satellite Cables Pvt. Ltd. and Galaxy Metals Products. In that case, three businessmen were arrested on September 14, 2018, and prosecution proceedings under the GST Act were subsequently initiated by the department.
The DGGI stated that the magnitude of the alleged evasion and the seriousness of the offence committed by Anil Kumar Jain and Manoj Garg fall under cognizable and non-bailable offences as per Section 132(1)(5) of the Central Goods and Services Tax Act, 2017. Consequently, both accused were arrested under Section 69(1) of the CGST Act, 2017, and produced before the Judicial Magistrate First Class (JMIC), Gurugram, who remanded them to 14 days of judicial custody.
During the investigation, searches were conducted at multiple premises, leading to the recovery of various incriminating documents. Officials alleged that the documents revealed the issuance of fake invoices in a circular manner among the companies involved, without any corresponding movement of goods, thereby facilitating wrongful availment and utilisation of fake input tax credit.
