The Federal Board of Revenue (FBR) has taken action against individuals involved in generating fake invoices within the coal sector.
In a determined effort to combat the problem of counterfeit and fraudulent invoices, the Directorate of Inland Revenue Intelligence & Investigation in Islamabad has arrested two individuals under section 37A of the Sales Tax Act 1990.
Reliable sources had reported the existence of an office operating in a residential complex in Sector F-10 of Islamabad, which was engaged in producing fake invoices for the supply of coal to cement factories.
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The Directorate conducted a raid on this office and subsequently registered a First Information Report (FIR) against a tax fraudster. The individual in question is accused of commissioning tax fraud and causing a significant loss of revenue amounting to Rs. 95 million to the national exchequer. This loss occurred through the wrongful claiming and adjustment of inadmissible input tax based on these counterfeit invoices.
During the raid, the principal officer of the company was not present and thus evaded apprehension. Ongoing efforts are being made to locate and arrest him.
The accused individuals were presented before the Special Court in Rawalpindi, where they were granted a seven-day physical remand for further investigation. It is anticipated that additional information about other culprits involved in the creation and use of fake and fraudulent invoices may come to light during the course of this investigation.
