Surat Crime Branch arrests mastermind behind Rs. 2700 crore GST scam

Surat: The Economic Offences Wing of Surat Police Crime Branch arrested one Sufiyan Kapadia, the mastermind behind a GST input tax credit evasion scam worth about Rs 2,700 crore. This case involved the creation of more than 1,500 shell companies to defraud the government, and Kapadia is the 19th person to be arrested in connection with it.

Of the 1,500 shell companies created, 1,300 were based in Gujarat alone. The police conducted raids in six different cities and apprehended 18 people, before Kapadia’s arrest. This group primarily conducted their illicit activities in Bhavnagar, Ahmedabad, Morbi, Surat, and Junagadh. The group had established bogus firms and shell companies, using fake documents of unsuspecting individuals, such as workers, rickshaw pullers, and street vendors to falsely claim an input tax credit.

Usman Gani, Anand Parmar, Faisal Kholia, and Aftab Solanki are accused of manipulating GST invoices in this extensive scheme. Gani is also charged with conducting transactions worth Rs 100 crores through various bank accounts.

It is also noteworthy, that about two years ago, Kapadia was arrested for his involvement in a Rs 496 crore fraud related to false claims of input tax credit using bogus billing methods. DeshGujarat