GST officials bust network of fake exporters

The authorities conducted a detailed analysis and traced a ‘risky exporter’ for investigation. The unit was engaged in export of Pan Masala, Chewing Tobacco and fast growing consumer goods. On a comprehensive analysis of the e-way bill or electronic permit for transportation of goods generated by two suppliers owned by the exporter’s associate, it was found that the vehicles for which the e-way bills were generated for the alleged supply of goods were was being used far and wide. The CBIC said the states of Gujarat, Maharashtra and Madhya Pradesh and had never entered Delhi during the period of investigation.

CBIC said the exporter allegedly committed offenses which are cognizable and non-bailable. The CBIC said the person running the export unit has been remanded to judicial custody for 14 days till October 26 by the Metropolitan Magistrate, Patiala House Court, New Delhi and further investigation is on.

GST authorities have recently tightened rules and increased their technology-led surveillance to prevent tax evasion. This comes at a time when the central and state tax authorities are not in a position to raise taxes to generate revenue. The option before them is to widen and deepen the tax net. Various agencies of the Central and State Governments are working together to detect mismatches in the declarations made by the assessees, which helps in identifying suspicious transactions.