Have Three Owners of Six Business Entities in Punjab Been Arrested for GST Evasion?
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Synopsis
In a significant crackdown, the DGGI has detained three owners of six business entities in Punjab for GST evasion totaling Rs 116.5 crore. The illegal activities included fake invoicing and removal of goods. This investigation underscores the government's commitment to combating tax evasion.
Key Takeaways
- Three owners arrested for significant GST evasion.
- Uncovered illegal sales totaling Rs 647.4 crore.
- Involvement in fake invoicing practices.
- Government's commitment to combat GST evasion.
- DGGI utilizes advanced tools for data analytics.
Ludhiana, May 3 (NationPress) The Directorate General of GST Intelligence (DGGI) has revealed that six business entities located in Mandi Gobindgarh in the Fatehgarh Sahib district have been implicated in the unlawful sale of Rs 647.4 crore, resulting in a Goods and Services Tax (GST) evasion amounting to Rs 116.5 crore. The three owners of these entities have been detained in Punjab due to their involvement in GST evasion.
The implicated business entities include Bharat Steel Industry, Ramji Concast, A.K.M. Alloys, K.T.B. Alloys, Shree Salasar Balaji Steel Tubes, and Shree Salasar Steel Tubes & Company.
These businesses were engaged in the manufacturing of billets and the trading of pipes.
The DGGI's investigation uncovered and seized significant evidence against these entities, as stated in an official release.
These findings were further validated through voluntary statements made by the partners and employees of the implicated businesses.
It was discovered that the companies had removed goods worth Rs 388.8 crore, which led to a GST evasion of Rs 69.8 crore.
Moreover, they were found guilty of engaging in fake invoicing totaling Rs 258.5 crore, resulting in an additional GST evasion of Rs 46.5 crore through the fraudulent use of non-existent and fictitious business entities for Input Tax Credit.
On May 2, the DGGI in Ludhiana arrested the three individuals who controlled these business entities, holding them accountable for the GST evasion of Rs 116.5 crore.
The arrested individuals have since been remanded to judicial custody.
The DGGI operates as the premier Intelligence and investigative agency of the Government of India for GST tax evasion, functioning under the Ministry of Finance.
To combat GST evasion, the DGGI employs advanced data analytics tools and a vast intelligence network to identify new areas of tax evasion.
Point of View
It is imperative to highlight the ongoing efforts by the DGGI to uphold tax compliance in India. This recent operation not only reaffirms the government's commitment to tackle GST evasion but also serves as a warning to businesses that non-compliance will have serious consequences.
NationPress
30/07/2025
Frequently Asked Questions
What led to the arrests in Punjab?
The arrests were made following an investigation by the DGGI that uncovered significant GST evasion linked to six business entities involved in illegal sales and fake invoicing.
How much GST evasion was identified?
The DGGI identified a total GST evasion of Rs 116.5 crore related to these business entities.
What types of businesses were involved?
The businesses involved were primarily manufacturing billets and trading pipes.
What actions does the DGGI take against tax evasion?
The DGGI employs advanced data analytics and intelligence networks to investigate and prevent GST evasion.
Where are these business entities located?
The business entities are based in Mandi Gobindgarh, located in the Fatehgarh Sahib district of Punjab.
