Excise & Taxation department in Haryana during a search campaign detected network of 40 fake firms in 14 districts in the state involved in illegal practices related to GST in which Faridabad district was leading having 12 firms in GST fraud, followed by Gurugram district having 10 firms allegedly cheated state government. Investigation by vigilance teams of Excise & Taxation department in the state reveals no such firm was found located on the address on which registration was sought by them and names of owners of these firms were found fake.
According to information by the department, three fake firms were detected in Sirsa district, Two fake firms detected each in Yamunanagar, Jhajjer, Mahindergarh, and Panipat district. Similarly, the vigilance team detected one fake firm each in Ambala, Kurukshetra, Sonepat, Kaithal and Fatehabad district. Earlier, Excise & Taxation department in the state had caught more than 200 fake firms involved in GST frauds.
Similarly, during a survey report by the department in month August 2021`out of total number of 234 firms as many as 89 firms were found bogus registered on fake addresses and could not be traced by the department vigilance teams. Information revealed, according to survey report the firms did business for amount worth Rs 1323 crore and claimed Rs 303 crore towards input tax credit which included Rs 35.53 lakh cash and Rs 21.86 crore as input tax credit block.
Excise & Taxation department in the state recently during verification detected 81 firms suspected having embezzlements in their records and during investigation by the department’s vigilance team found that the addresses on which these firms were registered were fake and there was no firm existing on these addresses. Out of 81 firms detected fake the data of 25 firms for tax amount worth Rs 17.23 crore was not available and the data of another 56 firms for amount worth Rs 63.64 crore was also not available on the records thus government suffered total revenue loss towards amount of sales tax worth Rs 80.87 crore
Investigation also revealed that those 40 fake registered firms has been purchasing goods on fake billing and trying to find out firms selling goods on fake bills and recovered amount worth crores of rupees falsely. Information further revealed, the department has already recovered amount worth Rs 57.64 crore in the game of fake procurement and sale.