In a major breakthrough, Hyderabad police have arrested five GST officials in connection with a GST refund fraud totaling approximately Rs46 crore. The arrests, carried out by the Hyderabad Central Crime Station (CCS), Detective Department, targeted officials from various GST circles across the state, marking a significant blow to tax evasion practices.
The arrested officials include Peetala Swarna Kumar, Deputy Commissioner of GST, Nalgonda Division; Kelam Venu Gopal, Assistant Commissioner of State Taxes, Abids Circle; Podila Viswa Kiran, Assistant Commissioner of State Taxes, Madhapur-1 Circle; Vemavarapu Venkata Ramana, Deputy State Tax Officer, GST, Madhapur-II Circle; and Marri Mahitha, Senior Assistant, Madhapur-III Circle.
According to police reports, these officials allegedly colluded with individuals involved in setting up bogus electric bike manufacturing companies. The companies fabricated rental agreements, submitted fake documents, and exploited loopholes in the GST portal to claim fraudulent refunds. The scam involved creating false invoices, e-way bills, and inward supply documents under the pretense of non-existent companies.
The accused officials are said to have bribed government employees to expedite the GST refund process, resulting in significant financial losses to the government. The investigation has also revealed the involvement of a tax consultant, Chiraag Sharma, based in New Delhi, as well as other accomplices from Andhra Pradesh.
Among those arrested earlier in the investigation were Vemireddy Raja Ramesh Reddy, Mummagari Giridhar Reddy, and Kondragunta Vineel Chowdary, all linked to the fraudulent activities. The fake companies involved in the scam include well-known names such as Vinardh Automobiles Pvt. Ltd., Yoko Electric Bikes, Crox Electric Bikes, Growmore Electric Vehicles, Apex Electric Bikes, Supriya Electric Bikes, and Magnum Electric Bikes.
This crackdown underscores the commitment of law enforcement to combat financial malpractices and uphold the integrity of the country’s tax administration. The arrested GST officials are accused of betraying the trust placed in them by the public and the government, abusing their positions for personal gain.
As the investigation continues, authorities are expected to uncover more details about the extensive network behind the scam. Law enforcement agencies have pledged to bring all those responsible to justice, serving as a strong deterrent to potential offenders and reinforcing the principles of transparency and accountability in the GST system.