Rs. 9.32 Crore GST Scam: Resin Firm Partner Remanded to Judicial Custody in Meerut
In a significant crackdown on tax evasion, the Special CJM Court in Meerut has remanded Somil Agarwal, partner of M/s Harish Chemical Products, to 14 days’ judicial custody in connection with a ₹9.32 crore GST fraud case.
The action follows a complaint filed by the Directorate General of GST Intelligence (DGGI), which uncovered a fake Input Tax Credit (ITC) racket allegedly orchestrated by Agarwal. During the hearing, Special Public Prosecutor Lakshya Pratap Singh presented evidence suggesting that Agarwal systematically availed and utilized bogus ITC through fake invoices and unreported cash sales.
A raid conducted at Agarwal’s premises reportedly yielded incriminating documents, detailed cash records, multiple mobile phones, and a laptop — all indicating deliberate manipulation of accounts and fraudulent procurement.
Forensic analysis of digital and physical evidence confirmed large-scale invoice manipulation and the use of shell entities to inflate purchases and reduce GST liabilities. The alleged actions fall under Section 132 of the Central Goods and Services Tax (CGST) Act, which prescribes stringent penalties, including arrest, for evasion involving amounts exceeding ₹5 crore.
The court, citing the gravity of the offence and potential for evidence tampering, denied bail and ordered judicial custody.
The department suggest that this case may be linked to a wider network of fake ITC syndicates operating across western Uttar Pradesh. Further investigation is ongoing.
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.
