The factory is located in the Budh Vihar area.
New Delhi:
The GST department has discovered a tax evasion of 831 million rupees by an unregistered tobacco or gutkha manufacturing unit in the national capital, according to an official statement.
Based on specific inputs, a raid was carried out on the factory in the Budh Vihar area and officials seized a large quantity of gutka and machines worth millions of rupees. The factory owner was also arrested during the raid, authorities said.
According to the GST Commissioner, Delhi, Shubhagata Kumar, the company was evading payment of the Goods and Services Tax (GST) by clandestinely manufacturing and supplying gutkha / pan masala / tobacco products without any registration and payment of duties. At least 65 workers were employed at the manufacturing unit, it said.
Based on the evidence gathered, the stocks seized and the confessional statements recorded, the total evasion of duties is estimated to be approx. Rs. 831.72 / -Crors. More research is underway. @IndianExpresspic.twitter.com/MrN63TLGRH
– CGST Delhi Area (@cgstdelhizone) January 3, 2021
“Based on the search at the manufacturer’s premises, it was found that the illegal manufacture of gutkha / pan masala / tobacco products was taking place, evidenced by a demolition, machines, raw materials and manufactured products at the premises” , the Central Tax Commissioner’s Office (Delhi West) said in a statement.
The materials were delivered without issuance of any invoice to evade taxes, he said.
Searches resulted in the seizure of finished gutkha and raw materials valued at Rs. Approximately 4.14 cr, the statement said.
“Based on the evidence gathered, the stocks seized and the confessional statements recorded, the total evasion of duties is estimated to be approximately Rs 831.72 million. Further investigations are under way,” it said.
The factory owner was arrested under the GST Law and presented in the Court of the House of Patiala on January 2, from where he has been sent to judicial custody for 14 days.
With the latest raid, Delhi’s GST department has discovered a GST theft of 4,327 crore this financial year.
With PTI inputs
.
