Kavya Mining Infrastructures MD arrested for GST evasion of Rs 18.55 crores
The company had reported turnovers and taxes in GSTR-1 and not reported turnover and taxes in GSTR 3B returns.
By Newsmeter Network
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Hyderabad: The Telangana Commercial Taxes Department arrested the managing director of Sri Kavya Mining Infrastructures Pvt. Ltd., Rajkumar Rekhya Roopsing Nayak, for evading paying GST taxes to an extent of Rs 18.55 crores.
The company had reported turnovers and taxes in GSTR-1 and not reported turnover and taxes in GSTR 3B returns.
According to the data, on verification of GST returns, it was revealed that Sri Kavya Mining Infrastructures issued GST invoices without paying taxes to the government to the beneficiary companies who availed the Input Tax Credit (ITC) based on the strength of such GST invoices issued by the company.
Sri Kavya Mining Infrastructures was routing the transactions without actual payment and issuing GST invoices in passing on the ITC, who have availed the ITC based on such GST invoices and the beneficiary companies utilized the same for payment of tax through credit account resulting in loss of revenue to the government exchequer.
Sri Kavya Mining Infrastructures have availed the wrong ITC which is not available in GSTR2A to the tune of Rs 4.12 crores. The above two issues led to the wrongful benefit of irregular credit which violates the provisions of the TGST Act, 2017, or the rules made there under leading to wrongful availment of ITC.
The officials said that the modus operandi adopted by Roopsing Nayak is that Sri Kavya Mining Infrastructures indulged in claiming of wrong ITC and issuance of fake/bogus GST invoices and passing on input supply of goods/services, facilitated the above firms to avail and utilize wrong ITC on the strength of fake/bogus invoices issued by them.
Given the above, Rajkumar Rekhya Roopsing Nayak, MD of Sri Kavya Mining Infrastructures is placed under arrest as he has committed an offense punishable under the provisions of the GST Act and remanded to judicial custody by the court for economic offenses.
The arrest was made by arrest by assistant commissioner (ST), Saroornagar-I Circle under the supervision of the joint commissioner (ST), Saroornagar Division. Further investigation is under process to further identify the actual masterminds behind the scam.
