Jamshedpur: The Directorate of Enforcement (ED) arrested city-based scrap dealer Gyan Chand Jaiswal and his son, Raj Jaiswal, in an alleged multi-crore fake GST Input Tax Credit (ITC) scam, sources said.The ED had conducted searches at six locations in Jamshedpur, Adityapur-Gamharia, Deogarh, and Kolkata under Section 17 of the Prevention of Money Laundering Act (PMLA), 2002, till late Wednesday night.Gyan Chand created a commotion at the MGM Medical College and Hospital, where he and his son were taken on Thursday. He alleged that he has been framed. He also complained of high blood pressure and said he had not been given his medication.Thereafter, the ED team took both the accused to Ranchi. The accused persons were produced before the judge, who forwarded them to judicial custody, sources added.On Wednesday, Jaiswal’s residence and main office in Contractors’ Area of Bistupur, the premises of his chartered accountant (CA) Sanjay Parekh at BS Tower, and the plant-cum-office in Adityapur-Gamharia were searched.The ED seized bank account details of companies, purchase and sales invoices, GST returns, documents related to financial transactions, and data stored on computers, laptops, hard disks, and mobile phones of the Jaiswal duo. Audit papers, GST filing records, and balance sheets were seized from Parekh’s office.The central agency is probing into the alleged role of the CA in the issuance of fake invoices and fraudulent ITC claims without actual supply of goods. The investigation has revealed that fake invoices, worth around Rs 5,000 crore, were allegedly generated through a network involving 37 shell companies, sources added.
