Various non-operating firms with fictitious addresses were identified in and around Guntur and searches were carried out at various locations in Andhra Pradesh, DGGI joint director Mayank Sharma said, in a statement issued here.
He added that searches revealed that the accused behind the creation of fake firms passed on fake credit of about Rs 8 crore to various bullion trading firms in AP. The kingpin, a 25-year-old from Guntur, was arrested after sustained efforts to trace him, Sharma said.
The DGGI, Vizag Zone also attached gold and silver worth Rs 1.58 crore. Further investigation is on. In November, seven cases were registered involving 32 dummy and non-existent GST registrations, Sharma said. The detections revealed fake transactions to the tune of Rs 400 crore entailing duty evasion of about Rs 28 crore. Two people were arrested in these cases, he said.