Over 1,200 exporters untraceable; government saves Rs 350 crore fake IGST refund
The Department of Revenue that uses its data analysis has discovered fraud in GST refunds with up to 1,200 exporters, who have claimed refunds of Rs 350 million rupees, now they cannot be traced.
The department has reason to consider that these nefarious elements among the community of customs agents may be related to these frauds, involving fictitious entities, which exist only in the virtual space through identity theft with false and transformed documents, according to sources.
Fraud detection has resulted in savings of more than Rs 350 million in reimbursements, they added.
The Central Board of Indirect and Customs Taxes has forced customs agents under their licensing conditions to independently verify the KYC of exporters.Free Consultation and Support
However, following the cases detected in recent months, it has been found that at least 50 customs agents have generally dealt with exporting entities that cannot be traced to their registered addresses and that said customs agents are also under the lens.
As the researchers investigated further, new modus operandi emerge, they said, and added that a company with the name of SSR Export was investigated and discovered a fraudulent reimbursement claim of Rs 9.88 crore.