Network of fake exporters busted in Delhi, one held for input tax fraud of Rs134 crore

Central Goods and Services Tax (CGST) Commissionerate in East Delhi has busted a network of fictitious exporters run by a man named Chirag Goel. It was found that Chirag Goel masterminded a deep-rooted conspiracy to defraud the government and committed offences, which are cognizable and non-bailable. He has been remanded to judicial custody

New Delhi: The Central Goods and Services Tax (CGST) Commissionerate in East Delhi has unearthed a network of fictitious exporters who were availing fake Input Tax Credit (ITC) of Rs134 crore under the Goods and Services Tax (GST) with an intent to claim Integrated Goods & Services Tax (IGST) refund fraudulently.

The network of fake exporters was being operated by a person named Chirag Goel, who is an MBA from University of Sunderland, UK.

On the basis of Risk Analysis, exporter M/s Vibe Tradex engaged in the export of pan masala, chewing tobacco, FMCG goods was identified for scrutiny. On an extensive analysis of the e-Way Bills generated by two supplier firms owned by his associate, who is at large, it was found that the vehicles for which the e-way Bills were generated for the purported supply of goods were being used in distant cities namely Gujrat, Maharashtra, Madhya Pradesh and had never entered Delhi during the said period.

Chirag Goel masterminded a deep-rooted conspiracy to defraud the government and committed offences specified under Section 132(1)(c) of the CGST Act, 2017 which are cognizable and non-bailable. He has been remanded to judicial custody by the Metropolitan Magistrate Patiala House Courts, New Delhi, for a period of 14 days till 26.10.2021.

Further investigation into the case is in progress.

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