The Central Bureau of Investigation (CBI) has launched an investigation into a significant GST refund fraud, conducting raids at seven locations across Bihar and Jharkhand. The scam, estimated to be worth ₹100 crore, involves the illicit procurement of tax refunds through fabricated export documents. Five customs officials are under the scanner, including Patna’s Additional GST Commissioner, Ranvijay Kumar.
Raids were simultaneously carried out in Patna, Purnia, Jamshedpur, Nalanda, and Munger. The CBI’s search operations also resulted in the recovery of seven gold biscuits, weighing a total of 100 grams.
The scheme came to light when authorities noted a substantial and suspicious rise in the export of tiles and automobile parts to Nepal from the Land Custom Stations (LCS) in Jaynagar, Bhimnagar, and Bhittamore during 2022-23. This unusual trend prompted a detailed inquiry.
The CBI’s initial findings suggest that approximately 30 exporters exploited the system by submitting counterfeit export bills from these border custom stations to claim GST refunds. These bills were reportedly valued at under ₹10 lakh, allowing customs superintendents to approve them without requiring higher authorization.
The CBI’s First Information Report (FIR) names Customs Superintendent Neeraj Kumar and Manmohan Sharma of Jaynagar, Tarun Kumar Sinha and Rajiv Ranjan Sinha of Bhimnagar, and Additional Commissioner Ranvijay Kumar as direct participants in the scheme. They are accused of accepting bribes in return for approving fraudulent bills, which enabled exporters to improperly obtain substantial GST refunds. Ganga Singh, a Kolkata-based clearing agent, is also implicated as a key conspirator.
The CBI has reported that officials facilitated nearly ₹800 crore in fraudulent exports, involving goods subject to 28% and 18% GST rates. Consequently, they illegally acquired approximately ₹100 crore in refunds.
During the investigation, authorities examined 4,161 e-way bills related to the purported exports. These bills listed various vehicles, including two-wheelers, buses, and even ambulances. However, a verification process revealed that none of the listed vehicles matched the records of the Sashastra Seema Bal (SSB).
The CBI alleges that Additional Commissioner Ranvijay Kumar knowingly overlooked the abnormal rise in exports, directing junior officers to issue Let Export Orders (LEOs) verbally. He allegedly provided false shipping details, either directly or through clearing agent Ganga Singh.
The CBI’s raid and preliminary investigation have exposed a network comprising customs officials and private exporters engaged in the misuse of government systems to defraud taxpayers.