Bhubaneswar: The Directorate General of GST Intelligence (DGGI), Bhubaneswar zone, has arrested a Rourkela-based businesswoman for alleged tax fraud of more than Rs 100 crore, involving multiple shell companies and fraudulent input tax credit (ITC) transactions.
Sources said the investigation was initiated following a lead during an inspection of a Cuttack-based firm, which was registered in the name of a Cuttack lawyer, who was unaware of its existence. Subsequently, a search was conducted at her residence in Rourkela during which incriminating evidence, including fake company seals, mobile phones, and documents related to benami firms, were seized.
Preliminary investigation revealed that the woman operated 27 non-existent firms using forged documents and dummy individuals across Odisha and beyond. These firms, devoid of any legitimate business activity, were used to generate fake invoices and e-way bills, facilitating a network of bogus transactions, which resulted in a significant loss to the exchequer.
Preliminary findings indicate transactions worth Rs 85 crore were channeled through these fake firms in recent years.
In 2022-23, GST had also served her notice for alleged fraud of Rs 11 crore through four firms.