Ludhiana, Sep 12 (PTI) The Central GST officers have busted a fake firm in the iron and steel sector for generating fake bills worth Rs 29.43 crore, which resulted in Rs 5.29 crore GST evasion.

The fake firm, which was set up to fraudulently pass on input tax credit was based in Mandi Gobindgarh, district Fatehgarh Sahib, and was busted by the Ludhiana CGST Commissionerate, an official statement said on Friday.

Investigations revealed that the firm had received and passed on fake bills worth Rs 29.43 crore, thereby evading GST to the tune of Rs 5.29 crore, it said.

To support these fake invoices, the firm had generated fake e-way bills and other related documents to escape the scrutiny of GST enforcement agencies.

The proprietor of the firm was arrested on Thursday and remanded to judicial custody, the statement said. PTI SUN JD HVA

GST evasion exposed: fake invoices and e way bills used to fraudulently pass input tax credit, prompting probe and arrest. Detection of a fabricated trader in the iron and steel sector revealed creation and circulation of false invoices to fraudulently pass on input tax credit, producing a quantified GST shortfall; investigators identified fake e way bills and related documents used to evade scrutiny, and the proprietor was arrested and remanded to judicial custody.