GST intelligence wing busts fake bill racket in Tamil Nadu, arrests mastermind

COIMBATORE: The director general of GST intelligence, Coimbatore zonal unit, has busted a racket that forge bills and arrested a key person, who is into steel trading business, for generating invoices in the name of his relatives and friends without supplying goods for a taxable value of Rs 55 crore.
In a press note on Friday, K Ramakrishnan, additional director general, GST intelligence, said they have conducted simultaneous search operations at the residence and business premises of S Sulaiman, 42, of Erode, who had set up businesses under fictitious name registrations in Erode, Coimbatore and Nilgiris districts with a view to illegally avail and pass on input tax credit.
All his firms were dealing in TMT bars and rods, and MS scrap. “He controlled four separate GST registrations with the PAN numbers of his relatives and friends, and generated invoices without supplying goods. These invoices were raised for two of his firms in Erode and used the tax credit for setting off their GST liability,” the officer said.
During the search of operation, officials have recovered crucial incriminating documents like printed bill books of fake firms, cheque books and signed leaves in the name of the fake firms. Sulaiman was arrested on Thursday and remanded in judicial custody. “He issued invoices for goods with a taxable value of Rs 55 crore and passed on passed on input tax credit of around Rs 9.9 crore to various entities.”