Hyderabad: The Enforcement Directorate (ED) raided five states, including Telangana, on Friday in connection with a fake input tax credit (ITC) scam. Officials searched 10 locations across Telangana, Arunachal Pradesh, Delhi, Haryana, and Tamil Nadu.
At Hyderabad and Medchal, ED officers uncovered fake turnover worth Rs 110 crore at Vinarth Automobiles Pvt. Ltd. They also detected bogus invoices. Moreover, investigators said the company fabricated vehicle records, issued fake e-way bills, and claimed fraudulent ITC. Promoters, suppliers, and facilitators admitted the fraud.
ED tracks bogus ITC claims across five states
The probe began with a complaint against Amit Traders in Guwahati. Later, investigators linked Sri Ram Enterprises to bogus invoices worth Rs 700 crore. The firm wrongfully claimed Rs 116 crore in fake ITC.
In Arunachal Pradesh, the owners of Rainbow Enterprises and AK Enterprises admitted securing over Rs 2 crore in fake ITC. Tanoor Engineering added another Rs 4 crore, according to officials.
Haryana investigations showed Jai Shri Balaji Trading Co. inflated turnover by Rs 87 crore and Rs 62 crore. Meanwhile, in Delhi, M/s Prisha Exim confessed to raising turnover by Rs 200 crore.
ED officers confirmed that they froze bank accounts connected to the suspects. They added that the agency continues to recover records and expand the probe.
