Kanpur businessman Piyush Jain sent to 14 days judicial custody


Kanpur businessman Piyush Jain was on Monday remanded to 14 days judicial custody by a court. Jain has been arrested under section 132 of CGST Act.

A GST official said that 23 kg gold and 600 kg of sandalwood oil hidden in an underground storage, having a market value of about Rs 6 crore was seized from his office and factory premises.

Since the gold so recovered is having foreign markings, Directorate of Revenue Intelligence (DRI) is being roped in for necessary investigation.

“Jain has accepted that the cash recovered from the residential premises is related to sale of goods without payment of GST,” said a GST official.

Evidences collected during the search in the last 5 days are being investigated thoroughly to unravel tax evasion.

The Ahmedabad unit of Directorate General of GST Intelligence (DGGI) had on December 22 initiated search operations in Kanpur at the factory premises of manufacturers of Shikhar brand Pan Masala and Tobacco products. They conducted raids at the office Godowns of M/s Ganpati Road Carriers, Transport Nagar, Kanpur, and the residential/factory premises of M/s Odochem Industries, suppliers of perfumery compounds, at Kanpur, Kannauj and Mumbai.

Four trucks full of goods without any GST paper were intercepted by the GST official.

The actual stock kept at factory was tallied with the stock recorded in the books and the GST officials found shortage of raw materials and finished products.

This further corroborated that the manufacturer was indulging in clandestine removal of goods with the help of transporter who used to issue fake invoices. GST officials have recovered 200 fake invoices.

The manufacturers of Shikhar brand of pan masala products admitted and deposited an amount of Rs 3.09 crore towards their tax liability.

The GST official said that till Monday evening the total amount of unaccounted cash recovered and seized was around Rs 250 crore. This is the biggest ever seizure of cash by the CBIC officials. The documents seized from the premises are under scrutiny.

Searches at Kannauj alone led to the recovery of Rs 17 crore more in cash.



Please enter your comment!
Please enter your name here