Ajit Karn
Wednesday, the Central Goods and Services Tax (CGST) Commissionerate of Mumbai Zone arrested a senior official of a Chinese smartphone manufacturer in the Thane district of Maharashtra for allegedly fraudulently obtaining 19 crore in input tax credit (ITC) through false invoices.
Mahendra Kumar Rawat, Manager of Finance and Accounts division of Oppo Mobiles India Private Limited, was arrested in Bhiwandi town and later exhibited in a local court, which remanded him in judicial detention until April 3, according to a statement from the CGST Bhiwandi Commissionerate.
On the basis of investigation-gathered evidence, he was detained under section 69 of the CGST Act, 2017 for violation of section 132 of the same Act.
The investigation conducted by the anti-evasion division of the CGST Bhiwandi Commissionerate revealed that Oppo Maharashtra had availed itself of fraudulent ITCs without receiving any products, according to the statement.
“M/S Gain Hero India Private Limited, the supplier of Oppo Mobiles India Pvt. Ltd., was discovered to be nonexistent at its principal place of business. 16 e-way invoices for the aforementioned transaction were verified and determined to be fraudulent. In addition, statements from the transporters and vehicle owner disclosed that no products were supplied to Oppo Maharashtra,” the report stated.
Mahendra Kumar Rawat, authorised signatory and Manager Finance and Accounts of Oppo Mobiles India Private Limited, played a key role in availing of the fraudulent ITC in the amount of 19,27,54,093 against the invoices in the amount of 107,08,56,072 issued by Gain Hero India Private Limited, without receiving the goods, the statement added.
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According to the CGST Commissionerate, the accused has confessed in his statement that the e-way invoices generated are fraudulent.
This case is part of the CGST Mumbai Zone’s special campaign against tax cheats and tax evaders. Sumit Kumar, Commissioner, Central GST Bhiwandi, stated that the CGST Bhiwandi Commissionerate has arrested 24 individuals in the past 18 months.
