A major embarrassment has struck the Central Goods and Services Tax (CGST) department after a serving CGST Inspector was allegedly found to be involved in a massive GST evasion racket amounting to nearly Rs. 100 crore.
A departmental inquiry has been formally initiated against Mohit Agarwal, a CGST Inspector posted in Kavi Nagar, Ghaziabad, following serious allegations of his involvement in facilitating large-scale tax fraud.
According to official sources, Mohit Agarwal has gone absconding after his name surfaced prominently during the investigation into the GST evasion case. In response, the Special Task Force (STF) conducted extensive raids on Saturday at multiple locations across Ghaziabad, Delhi, and Haryana in an attempt to trace and arrest the accused officer.
Investigators have confirmed that Mohit Agarwal’s name has been incorporated into the ongoing GST evasion probe, with evidence suggesting that he played a central role in orchestrating the fraud. During the course of investigation, his involvement allegedly came to light through disclosures made by several accused persons who were recently arrested.
The STF had earlier arrested Puneet Agarwal, Hardeep Singh, Jitendra Jha, and Shivam Singh from Delhi in connection with the tax evasion network. During interrogation, all four accused reportedly named Mohit Agarwal, identifying him as the key facilitator and mastermind behind the operations.
As per the investigation, Mohit Agarwal allegedly misused his official position to reactivate the GST registration of Puneet Agarwal’s firm, “Adan Automobile,” which had earlier been suspended by the department. Once revived, the firm was allegedly used as a front entity to carry out fraudulent GST transactions, including the generation and circulation of fake invoices to evade tax liabilities on a massive scale.
The arrested accused have further stated that all GST evasion activities were routed through Puneet Agarwal’s firm with the active assistance and protection of the CGST Inspector. The role attributed to Mohit Agarwal includes manipulating departmental records and ensuring that regulatory scrutiny was avoided.
In view of the gravity of the allegations and the scale of revenue loss involved, senior officials have ordered a departmental inquiry against Mohit Agarwal, which will run parallel to the criminal investigation being carried out by the STF.
Authorities have indicated that further arrests are likely as the probe deepens, and efforts are underway to locate the absconding officer. The case has raised serious concerns about internal collusion and misuse of official machinery in tax administration, prompting the department to reassess internal controls and monitoring mechanisms.
