GST ITC Fraud | 19-Years Old Boy Involved In Misuse Of B2C Credit From Online Mobile Sales Withdraws Bail Application
19-Years Old Boy Involved In Misuse Of B2C Credit From Online Mobile Sales Withdraws Bail Application
The 19-years old boy, Sanket Mittal involved in misuse of B2C credit from online mobile sales for wrongfully/fraudulantly availing Input Tax Credit (ITC) has withdrawn the bail application filed before the Additional Sessions Judge, Faridabad.
Sanket Mittal was allegedly involved in procuring International Mobile Equipment Identity (IMEI) numbers of iPhones sold on platforms such as Amazon, Flipkart, and Appario through dubious sources. These IMEIs were falsely shown as legitimate purchases to fraudulently avail and pass on ITC — despite the phones being directly sold to individual consumers (B2C), leaving no trace of B2B procurement.
As a result The CGST Faridabad Commissionerate has unearthed a fraudulent input tax credit (ITC) racket amounting to Rs. 64.25 crore, involving the passing of ineligible ITC without actual supply of goods by misuse of Business-to-Consumer (B2C) credit from online mobile sales.
The CGST Faridabad arrested two individuals — Sanket Mittal and Naveen Tayal — have been arrested and remanded to 14-day judicial custody by the Faridabad District Court.
It is learnt from the sources that the 19-years old boy fearlessly faced the interrogation of the officers.
Subsequently the accused filed the bail application which was withdrawn. It is learnt that the department has presented extraordinary evidence before the court.
Mariya is the Senior Editor at JurisHour. She has 5+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started as a freelance tax reporter in the leading online legal news companies like LiveLaw & Taxscan.
