Couple nabbed from Surat in Rs 450 crore GST fraud

In a major swoop, the Maharashtra Goods & Services Tax Department has arrested a couple from the commercial and economic hub of Surat in neighbouring Gujarat in connection with a Rs 450 crore fraud.

The couple, Prima Mhatre, proprietor of M/s Dolphin Overseas and Sanjeev Singh, proprietor of M/s Prime Overseas, have been evading summons for the last six months.

In a planning operation, last two days, the Mumbai Police and Surat City Police arrested the couple in their luxurious flat in Surat.

Based on comprehensive analytics the Investigation wing of the Maharashtra State GST Department started investigating these firms, in August 2021.

However, the couple fled away from the investigation proceedings on medical grounds; from day one of the investigation.

The Maharashtra State GST Department continued its search operation at various places and found collective tax evasion of approximately Rs 111 crore by the couple.

The couple floated various bogus firms in the name of different unrelated persons; accepted bogus invoices of approximately Rs 482 crore and availed fake /ineligible ITC of approximately Rs 111 crore.

“As the couple and their other accomplices continued to evade the GST Department’s notices; a joint operation was launched against them by the Maharashtra State GST Department and the Mumbai Police and Surat City Police,” Maharashtra GST Department officials said.

With concrete intelligence, a team of Maharashtra GST officials and Mumbai Police left for Surat on the midnight of Wednesday and in complete solidarity with the Surat City Police, the couple was arrested on Thursday afternoon in a dramatic way.

The entire operation was coordinated & executed by Joint Commissioner (Investigation-B) Sampada Mehta, Deputy Commissioner Vinod Desai, Assistant Commissioner Rishikesh Wagh, State Tax Officer Swati Shinde and their team members.

The duo was brought to Mumbai on Friday early morning and produced before the Judicial Magistrate who remanded the couple to judicial custody of 14 days.

This arrest marks a historic moment for the Maharashtra GST Department; as this is for the first time ever that the State GST Department has arrested the tax-evaders from outside the Maharashtra State boundary.

“Through this successful operation the Department has sent a very strong signal that it will leave no stone unturned in its lawful action against the errant taxpayers,” the officials said.

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