DGGI arrests two in 102cr fake ITC racket

Ahmedabad: The Directorate General of GST Intelligence (DGGI), Ahmedabad zonal unit has arrested two persons from Rajkot for allegedly masterminding a fake billing racket involving fraudulent availing and passing on of input tax credit (ITC) worth Rs 102.25 crore.The accused — Vaibhav Boricha and Jatin Sakariya — were arrested under Section 69 of the CGST Act, 2017, following coordinated searches at multiple premises linked to them and their associates. Officials said incriminating documents, mobile phones, and electronic devices seized are being examined.
According to DGGI, the duo allegedly controlled 23 dummy firms, of which 14 were actively used to issue bogus tax invoices. The investigation so far has unearthed invoices worth around Rs 545 crore generated without any movement of goods. Sakariya managed GST registrations, filing of returns, and liaison with beneficiary firms, and issued fake invoices to enable wrongful ITC claims. Investigators also found that angadia firms were used as conduits to transfer and circulate cash.