The Directorate General of GST Intelligence (DGGI) Gurugram Zonal Unit (GU), Gurugram, has unearthed a case wherein a series of entities controlled by a person as Proprietor / Director of M/s Umang Overseas, M/s Ulagarsan Impex Put Ltd and M/s Umang Impex Private Limited, was found to be involved in availing and passing fraudulent Input Tax Credit (ITC) of Rs  16.74 crore without receipt of goods from different fake, suspended and non-existent firms.

A search was conducted at various premises on 04.04.2022. During the search, many pen drives, rubber stamps of different firms, documents/ records were resumed and the same are being investigated for estimation of duty evasion.

The key person involved in availment and passing of fraudulent ITC was arrested on 05.04.2022 and produced before the Chief Metropolitan Magistrate, Patiala House Court on 05.04.2022 and ordered judicial custody for 14 days.

Further investigation in the matter is under progress.

Input Tax Credit fraud investigation prompts arrest and raids after alleged fraudulent availment and passing of credits. A coordinated scheme to fraudulently claim and transfer Input Tax Credit was uncovered where entities controlled by one person used fake, suspended and non existent suppliers to avail and pass ITC without receipt of goods. Searches recovered pen drives, rubber stamps and records; the key accused was arrested, produced before the magistrate and placed in judicial custody, and further investigation and forensic examination of seized material is in progress.