Aryan Associates, a company owned by Ajay Barad—the son of Talala BJP MLA Bhaga Barad—has become embroiled in a significant input tax credit scam. This controversy has surfaced amid a crackdown by the CID Crime, Economic Offences Wing, and Special Operations Group, which has led to the arrest of four individuals associated with the scheme.
Investigations revealed that several companies, including Aryan Associates, are implicated in fraudulently claiming input tax credits totaling approximately Rs12 crores. Authorities conducted raids across various locations, including Ahmedabad, Junagadh, Surat, Kheda, and Bhavnagar, resulting in the detention of individuals like Ejaz Maldar and Abdul Kadri from Dhruvi Enterprises, which is at the center of the scandal.
One of the promoters from D A Enterprises, a senior citizen named Manharbhai, claims to have no knowledge of the company’s operations, stating that the owners include Manojkumar, Rambhai Vinibhai, and Natubhai Patel, with one member recently replaced by a woman on the board.
While police are interrogating the company’s chartered accountant, Jigar Shah, he has indicated that he acted on the instructions of the promoters. There are expectations that the former chartered accountant, Avtar Singh, will also face questioning.
It appears that all major decisions were made under the direction of the primary promoters. CID Crime officials are currently compiling data on about 186 bogus companies implicated in this operation, which reportedly took place between February 2023 and the end of April 2023. The Directorate General of GST Intelligence (DGGI) lodged a formal complaint, prompting the investigation.
A key player in the scam, Dhruvi Enterprises, was found to have fabricated rent agreements submitted to the DGGI to fraudulently claim input tax credits. The company also issued fake invoices to facilitate bogus ITC claims for other entities. It was discovered that multiple GST registrations were obtained using the same PAN card across different locations.
Dhruvi Enterprises provided ITC to 12 companies while also claiming credits from companies whose GST registrations had already been canceled. Individuals involved in the operation include Jyotish Gondaliya, Aejaz Maldar, and Abdul Kadar Qadri, also known as Bapu Kadri. The investigation continues, with authorities working to uncover the full extent of the fraudulent activities.
