In a major enforcement action, the Central Goods & Services Tax (CGST) Commissionerate, Ludhiana, has uncovered a massive GST fraud worth Rs 54 crore during a series of search operations conducted on Thursday at a private firm in Mandi Gobindgarh, located in the Fatehgarh Sahib district.
According to officials, the company-engaged in the manufacturing of iron and steel products, had allegedly availed bogus GST invoices amounting to Rs 300 crore. Using these fake invoices, the firm reportedly claimed ineligible Input Tax Credit (ITC) to offset its GST liability, causing a substantial revenue loss to the exchequer.
The department has arrested a key individual associated with the company under the provisions of the Central GST Act, 2017. Officials confirmed that further investigation is underway to track down additional entities and individuals linked to the fraudulent network.
Authorities emphasized that such coordinated search operations reflect the government's continued crackdown on GST evasion through fake invoicing and fraudulent ITC claims. More arrests and recoveries are expected as the probe progresses.
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