Sales tax official, 16 traders booked by Maharashtra ACB for Rs 175 cr fraud

Mumbai, Mar 1 (PTI) A sales tax official and 16 others were booked in an alleged fraud that caused a loss of Rs 175.93 crore to the Maharashtra government, the Anti Corruption Bureau said on Friday. The alleged scam took place between August 2021 and March 2022 at the state Goods and Service Tax (GST) department building in Mazgaon, the official said.
“Amit Giridhar Lalage (42), posted as sales tax officer at GST Bhavan with charge of Ghatkopar Zone, Nodal 11 at the time, allegedly conspired with 16 traders who created forged and fake rent agreements and obtained GST numbers,” he said.

“These traders did not pay any kind of tax to the state government in the form of GST, but submitted 39 applications to get Rs 175.93 crore as tax returns. Lalage deliberately did not verify these claims even though the GST portal showed they were dubious,” he added.
By processing these returns and disbursing money to 16 traders, Lalage caused a loss of Rs 175.93 crore to the Maharashtra government, the official said. Lalage and the 16 traders were charged under Prevention of Corruption Act and Indian Penal Code provisions for cheating, forgery and other offences, the official added.