Ludhiana — The Central GST Commissionerate in Ludhiana has unearthed a massive fake invoicing racket worth ₹455 crore in the city’s iron and steel trade, officials said on Wednesday.
Following intelligence inputs, officers carried out multiple searches on September 16 and discovered that three linked firms — M/s Vasu Multimetals, M/s SVM Multimetals Pvt Ltd, and M/s Ingottastic LLP — had availed bogus invoices. Investigators revealed that the entities wrongfully claimed and utilized ineligible Input Tax Credit (ITC) amounting to ₹69.41 crore to offset their GST liabilities, leading to a major loss of government revenue.
A father–son duo accused of controlling the operations of the three firms has been arrested under provisions of the Central GST Act, 2017, and remanded to judicial custody.
Officials said the probe will now focus on mapping the wider network, identifying beneficiaries, and exposing additional companies involved in passing on or availing fraudulent ITC.
Reiterating its enforcement drive, the CGST Ludhiana Commissionerate stated it would continue to act firmly against tax frauds to safeguard revenue and ensure fair competition for honest taxpayers.
