Police in Agra have apprehended two individuals from Delhi for allegedly orchestrating a sophisticated Goods and Services Tax (GST) evasion racket worth approximately Rs 25 crore. The arrests were made on Friday following a detailed investigation that spanned over two months.
The Arrests and Key Suspects
The accused have been identified as Chandan Mishra (32) and Sanjeet Singh (33), both residents of Swaroop Nagar in Delhi. They were taken into custody by the cyber police station after the probe was transferred to them due to its technical complexity. Authorities noted that Chandan Mishra has a prior criminal record and has served jail time in the past.
During the arrest, law enforcement officials seized crucial evidence, including four mobile phones, a laptop, and documents linked to 12 different GST-registered firms. Mainpuri Superintendent of Police (SP) Ganesh Prasad Saha confirmed the recoveries and the subsequent legal action.
Modus Operandi of the Fraud
The duo's elaborate scheme targeted vulnerable sections of society. Their method involved luring poor and unsuspecting individuals with small amounts of money under the guise of offering them employment. Once engaged, they would collect the individuals' Aadhaar and PAN card details.
Using these stolen identities, the accused would then open bank accounts and register fake firms for GST. These fraudulent entities were used to generate fake GST invoices and e-way bills. The primary objective was to illegally claim Input Tax Credit (ITC) on a massive scale, leading to the evasion of crores of rupees in tax liability.
Police revealed a clear division of roles: Mishra managed the accounting and GST-related paperwork, while Sanjeet was responsible for arranging physical locations for these bogus companies. In their confession, the accused admitted to creating counterfeit documents for roughly 150 firms.
Investigation and Legal Proceedings
The case originated about two months ago when GST department officials filed a First Information Report (FIR) at the Sadar police station in Mainpuri. The complaint was against two firms suspected of large-scale tax fraud. SP Saha stated that GST officials had submitted an application highlighting the registration of a large number of fake companies using fraudulent GST numbers specifically to evade taxes.
A formal case has been registered under multiple sections of the law, including Section 318(4) of the Bharatiya Nyaya Sanhita (BNS) pertaining to cheating. The investigation remains active as authorities work to identify and apprehend all other individuals connected to this widespread racket.
SP Ganesh Prasad Saha issued a stern warning, asserting that strict action will be taken against anyone else found involved in this elaborate scheme to defraud the government exchequer.
