Woman director fakes invoices, held by GST commissionerate

Woman director fakes invoices, held by GST commissionerate

Chennai, Dec 16: The GST commissionerate in Chennai arrested Poonam Sharma, director of three firms, for fabricating fake GST invoices to claim input tax credit to the tune of Rs 43 crore.
This is the first time a woman is being arrested by the GST commissionerate.
“Poonam Sharma, director of Nadesh Trade Impex Private Ltd, Anmol Ferro Impex Private Ltd and Vivan Trade Impex Private Ltd, has been arrested after we found that there is a fake GST invoices racket,” said Chennai north principal commissioner Rakesh Kumar Sinha.
The department gathered information that the companies received fake invoices without receipt of goods. The three companies also created fake invoices to show supply of goods to other companies to earn commission. In reality, no commodity was sold.
During investigation, Sharma admitted to receiving invoices without any transaction of goods. She admitted to availing input tax credit to the tune of Rs 43.52 crore with fake invoices, said Sinha.
“The three companies in which Sharma is a director received commission for the input tax credit availed by other companies without trading in any goods,” said Sinha.
Sharma has been arrested under the provision of GST Law and has been remanded in judicial custody. “This is the third such arrest from Chennai city alone on the issue of using fake invoices to avail input tax credit. Further investigation is on. We are taking efforts to curb GST evasion by traders,” the official said.
On November 15, Danaram, a trader, was arrested for running a fake racket with others. On November 29, the GST commissionerate arrested Dilip Kumar (45) for availing input tax credit in the name of fake companies and thereby causing loss to the government.
Kumar was dealing in steel, chemicals, plastics, electronic goods and leader goods. In all these dealings, Kumar generated input tax revenue without moving any goods.