Mandi Gobingarh: Punjab Finance Minister Harpal Singh Cheema declared that state taxation authorities have unearthed a major ₹22.53 crore GST evasion network linked to a Mandi Gobindgarh-based industrial firm. The operation, conducted by specialized taxation teams, resulted in an immediate on-the-spot cash recovery of ₹9.50 crore, marking a significant outcome for the state’s technology-driven enforcement drive.
The department initiated formal proceedings against M/s Jagat Metals Pvt. Ltd. after data analytics flagged suspicious Input Tax Credit claims. Taxation officials found that the firm had wrongfully claimed ₹22.53 crore by linking transactions to suppliers whose GST registrations had already been canceled. Further verification revealed that intermediate suppliers in the transaction chain had similarly availed ineligible credits from cancelled entities, raising doubts regarding the physical movement of goods.
Following the investigation, taxation officials carried out an inspection at the firm’s business premises on September 7, which continued late into the night. Cornered by the digital evidence gathered during the search, the firm deposited ₹9.50 crore in SGST cash on the spot.
Finance Minister Cheema affirmed that the state government maintains zero tolerance toward fraudulent tax networks, adding that teams are scrutinizing e-way bills, weighment slips, and financial trails to recover remaining dues. Minister Cheema stated that compliant taxpayers will receive full administrative support while those attempting fraudulent claims will face strict legal action.
