Mastermind Behind Rs 1,825 Crore GST Fraud Arrested

In a major breakthrough, Kapil Chugh, accused of orchestrating a massive Rs 1,825 crore GST refund fraud, has been arrested by the Directorate of GST Intelligence (DGGI), the finance ministry announced on Monday.

Chugh, believed to be the mastermind behind the sophisticated tax evasion scheme, was apprehended at IGI Airport upon returning from Dubai, after evading investigation and ignoring repeated summons. The inquiry has unveiled his intricate operations, involving fraudulent Input Tax Credit (ITC) claims, exploiting zero-rated supplies through dummy firms.

Authorities disclosed that Chugh, along with associate Vipin Sharma, manipulated GST transactions using fake invoices and layered paper trails. Their operations not only implicated Kandla Special Economic Zone but also caught the attention of SEBI and CBI for other financial misdeeds.