800 Cr GST Scam: ED Cracks Down in Jharkhand, Bengal

Ranchi (The Uttam Hindu): Teams of Enforcement Directorate (ED) have started raids on nine locations in Jharkhand and Bengal on Thursday morning in connection with the GST scam of about 800 crores. In Jharkhand, raids have been conducted at three places in Ranchi and one in Jamshedpur. CRPF personnel have been deployed at the places where raids are being conducted for security.

According to sources, businessmen from both states had taken advantage of input tax credit of more than Rs 800 crore by making fake GST invoices worth Rs 14,325 crore. The businessmen whose premises are being raided include Shivkumar Deora, Sumit Gupta, Amit Gupta and others. ED had earlier also raided this scam in Bengal, while action is being taken for the first time in Jharkhand. It is alleged that businessmen created business establishments on the basis of fake documents and took undue advantage of input tax credit. Later these fake establishments were closed.

It is noteworthy that in January this year, the investigation team of the GST Directorate raided Sarubadera in Ramgarh and Jharia in Dhanbad in a GST scam of more than Rs 100 crore. Similarly, the GST team raided eight locations in Jamshedpur and Adityapur industrial areas and exposed a fraud of Rs 150 crore. In this case of scam by issuing fake GST invoices, many other companies including Khatu Shyam Steel located in Jugsalai, Jamshedpur, Jaisuka Iron and Power, Baba Shyam Steel, Shri Steel, Vivan Enterprises, Rivaah Resort located on NH-33 and Mateshwari Engineering located in Adityapur are on the radar of ED investigation. At present, no information has been officially shared by the investigating agency in this matter