The Directorate General of GST Intelligence (DGGI) has apprehended Ajay Sharma, a scrap trader from Jamshedpur, over an alleged GST fraud amounting to nearly Rs 100 crore. Investigators revealed Sharma’s involvement in a vast interstate network that facilitated fake Input Tax Credit (ITC) claims through shell companies. The arrest transpired following raids at Sharma’s Baridih premises under DGGI Joint Director Abhinav Kumar’s supervision.
Officials seized mobile phones, laptops, and digital records during the searches, believed to be pertinent to the inquiry. Sharma was taken into custody on Wednesday evening after interrogation and has been remanded to judicial custody. Allegedly, Sharma exploited and transferred illicit Input Tax Credit benefits by orchestrating paper transactions under various fictitious firms like ‘Ganesh Trading’ and ‘Kanti Trading’.
Preliminary investigations uncovered a counterfeit billing network involving transactions valued at approximately Rs 100 crore. Authorities are now assessing the actual revenue loss to the government exchequer and identifying potential beneficiaries of the purported scam. The agency is also probing potential connections between Sharma and other businessmen currently incarcerated in separate GST fraud cases.
However, detailed information on these alleged associations has not been disclosed by officials. The DGGI has been delving into the suspected fake invoicing network spanning Jharkhand and multiple other states for several months. The digital data and financial documents seized are undergoing forensic analysis, with officials anticipating the revelation of more individuals and entities linked to the network upon further scrutiny.
The investigation remains active, with authorities persisting in tracking financial transactions, shell companies, and the alleged recipients of the fraudulent ITC claims.
