Phagwara/Hoshiarpur, | June 7, 2025 — Punjab-based textile conglomerate JCT Limited and its associated Tyrock fabric showroom are facing dual allegations of massive GST evasion and non-payment of employee Provident Fund (PF) dues, implicating top company figures in potential tax fraud and labor law violations.
According to confidential sources, the Tyrock showroom has allegedly sold fabric worth ₹10–12 crore over the past year, exclusively in cash and without issuing GST invoices. These transactions, with no formal accounting or billing, suggest an organized effort to evade taxation.
“There is absolutely no GST billing on large volumes of fabric sold. This points to not just evasion but possible laundering of unaccounted cash,” said a source familiar with the showroom’s operations.
The names of Sameer Thapar and Mukulika Sinha, both senior associates of JCT Limited, have emerged in connection with the case. However, neither they nor the company has issued an official response so far.
Tax experts say the case could fall under the jurisdiction of the Directorate General of GST Intelligence (DGGI), the Income Tax Department, and the Serious Fraud Investigation Office (SFIO) if substantiated. “This isn’t just a violation of tax norms. It could qualify as a corporate fraud under Indian penal laws,” said a former GST enforcement officer.
Parallel to the alleged tax evasion, JCT workers from both the Phagwara and Hoshiarpur factories have been demanding the release of their pending Provident Fund dues for over three years. Weekly visits to the Regional PF Commissioner in Jalandhar by employee representatives have yielded no resolution.
“The officials keep telling us that unless Sameer Thapar and Mukulika Sinha deposit several crores into the PF Trust, our money won’t be released,” said a factory staff member, adding that even FIRs have been filed by the PF Department, but no arrests or legal action have followed.
Workers are now questioning:
- Why the PF trustees, some of whom have already withdrawn their own funds, have not been investigated or charged.
- Why no criminal case has been filed for non-deposit of PF contributions for FY 2023–24 and 2024–25.
- Why there is no governmental accountability despite repeated complaints.
“This is not just about unpaid wages or evaded taxes,” said a labor rights activist in Ludhiana. “This is about a system where laws are bent for the rich, while workers beg for what is rightfully theirs.”
Local traders, tax professionals, and labor unions are now calling for a combined government probe into both the financial and labor violations. “We demand the arrest of the individuals named in FIRs, dissolution of the PF trust, and a forensic audit of JCT Limited’s accounts,” said a joint statement issued by worker representatives.
As of publication, no official response has been made by JCT Limited or the individuals named. Multiple attempts to reach the company for comment have gone unanswered.
Disclaimer
This report is based on anonymous sources and unverified claims. At the time of publication, no formal investigation or charge has been confirmed. The allegations remain under the realm of public interest reporting until substantiated by legal or government action.
