Guwahati: The Guwahati zonal unit of the Directorate General of GST Intelligence (DGGI) has raided several business establishments linked to the Vimal Pan Masala trade following evidence of tax evasion of about Rs 7 crore.
The searches were led by Rajeev Garg, Additional Director General of the DGGI’s Guwahati zonal unit. They were carried out simultaneously in Guwahati, Delhi, Dhubri and the Greater Noida region.
The department seized several trucks that did not have proper documents. A large quantity of records related to alleged tax evasion was also seized during the operation.
Two persons linked to the gutkha business, which allegedly operated across several regions through tax evasion, were arrested. They have been identified as Kamlesh Tiwari and Anuj Tiwari. Following departmental procedure, the two were sent to Guwahati Central Jail.
Questions have, however, been raised over the validity of the arrests. According to a decision taken by the GST Council on October 7, the department can no longer directly arrest persons involved in tax evasion.
In this context, questions are being raised over why the Additional Director General of the Guwahati zone arrested the two persons and sent them to jail despite the Council’s decision.