Chinese Smartphone Maker Oppo senior executive Arrested in Thane for Rs 19 Crore Tax Fraud

A senior executive of Chinese smartphone company Oppo’s unit in India has been arrested by the Central Goods and Services Tax (CGST) Commissionerate’s Mumbai zone on charges of input tax credit (ITC) fraud of Rs 19 crore. This fraud was done through fake invoices.

The company’s finance and accounts manager, Mahendra Kumar Rawat, was produced before a local court after his arrest from Bhiwandi city in Maharashtra on Wednesday. The court sent him to judicial custody till April 3. Based on the evidence found during the investigation, he has been arrested under section 69 of the CGST Act. In a statement issued by the CGST Bhiwandi Commissionerate, it has been told that Oppo Ltd.’s office in Maharashtra was taking bogus ITC without receipt of any goods. It added, “Company’s supplier M/s Gain Hero was not present at its business address. Investigation has found 16 forged e-way bills. Statements of transporters and vehicle owner revealed that no supply of goods to the company was not done.”

Finance and Accounts Manager, Rawat, who was authorized to sign on behalf of Oppo’s unit in India, issued invoices of Rs 107,08,56,072 on behalf of Gain Hero without receipt of goods, and Rs 19,27,54,093. was instrumental in availing bogus ITC of Rs. It is stated in the statement that the accused has admitted that company The e-way bills generated for Rs.

The case is part of a special drive by CGST’s Mumbai zone against tax frauds and evasion. CGST Bhiwandi Commissionerate has arrested 24 persons in such cases in the last 18 months. Even before this, Chinese electronics companies have been accused of tax evasion. Regulatory strictness against Chinese smartphone companies has increased in the last few years. Restrictions have been imposed on these companies abroad also for violating the rules. China’s Huawei has been severely banned in the US.

(This news has not been edited by NDTV team. It is published directly from syndicate feed.)