The central ministry has launched an investigation against unidentified exporters in New Delhi, who allegedly faked GST refunds worth ₹ 350 crores. The advanced data analytics investigation have been an eye opener for the Department. So far, it has discovered 1200 untraceable exporters and saved around ₹350 crores of refunds under payment.
It is suspected that customs broker community may be connected with these frauds existing only in virtual space through identity thefts with fake and morphed documents. There are minimum 50 custom brokers have been found to have dealt with such exporter entities which doesn’t exist at their registered addresses.
The ministry says that over 800 entities have been detected during the last five months where exporters had overvalued the price of merchandise of ₹1500 crores to claim fake GST refunds.
Now with data analytic, there is a long digital trail to be followed, which makes it difficult for fraudster to continue with their wicked designs.