DGGI busts Rs213cr fake GST credit refund racket in Nagpur


Maharashtra: Directorate General of GST Intelligence (DGGI) on Monday busted a racket of 213 Crore involving fraudulent GST credit refund. The case is said to be one of its kind; the DGGI reported an alleged racket of cash refunds to the tune of Rs213 crore being availed for exports that never happened. Out of Rs123 crore, DGGI withheld a disbursal of Rs90 crore. The racket involves three non-existent firms indulging in ‘dubious’ exports of tobacco products from ICD-Mihan and then claiming ITC refunds, which was found out following multiple searches in Nagpur starting from July 1, 2021.

“Some leads have been obtained about the mastermind behind the racket. While 123.97 crore of these fraudulent refunds had already been processed by the CGST Division in Hingna by the first week of June, timely intervention by DGGI has stopped the balance refunds of Rs 89.90 crore being processed,” a DGGI official said.

Staff Reporter : DNI


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