DGGI Raids LD Goyal’s Factories in Hathras and Aligarh Over Suspected Rs. 20 Crore Tax Evasion

DGGI Raids LD Goyal’s Factories in Hathras and Aligarh Over Suspected Rs. 20 Crore Tax Evasion

The Directorate General of Commercial Intelligence and Statistics (DGGI) team is still conducting raids on the factories of prominent iron trader LD Goyal in Hathras and Aligarh.

The raid started on Tuesday night on three factories and his residence, and another factory of Goyal on Kasimpur Road was also raided. The team spent Wednesday examining the documents.

Further, employees and factory management were also questioned. Even after 36 hours of continuous inspection, no one was permitted to enter or leave. Investigating officers are posting digital data. Documents from the fraudulent firm with which purchases and sales were made are also being collected.

After examining these documents, Amit’s scrap trading firm was also raided that evening. During the whole night, more than 70 officers were connected in the raid at five factories and residences.

An expert says, “If GST evasion of more than 20 crore rupees is detected, the accused entrepreneur can be arrested. This action cannot be ruled out either.”

The next morning, senior officials from Lucknow reached LD Goyal Steel Private Limited, located in Tala Nagari Sector 2. The team stayed till 5 pm. The team is also working at the furnace factory owned by Goyal and his family near Kasimpur. It is reported that this factory produces about 200 tonnes of girders, rods, and other products every day, which are sent to different cities across the country. The SIB team from the State and Service Tax Department has also inspected Amit Scrap Traders, located on Khair Road in Jalalpur.

It is believed that Amit Agarwal has business dealings with LD Goyal and his family. Considering this, the DGGI team arrived in the evening. However, three years ago, the CGST team had raided Amit Trading’s office and warehouse, which is located near Laxmi Talkies on Gular Road.

After the raid, documents were found claiming tax credits and purchases and sales from fake firms.

The SIB team of State and Service Tax organized an investigation at Amit Traders. The team entered the place and began their investigation. They also reviewed the suspicious slips and transactions with some firms, stock of goods, and e-way bills of loaded goods. The investigation was continued till 6 in the evening, after which the team left. A few hours later, the DGGI team raided and investigated till late at night.

The team is also inspecting the past records of the entrepreneurs. Three years ago, the CGST team had found large irregularities while taking action against the firms of LD Goyal and his family and partner. The department had then issued a demand of Rs 48 crores on Goyal’s firm and companies, as per an official.

On the other hand, clever and dishonest businessmen who get caught doing such things often file an appeal. Then they take the case to the tribunal, where, thanks to inside connections or corruption, their penalty is reduced even more. After that, they approach the High Court. By that time, the government lawyers handling the case have become careless, and the accused businessmen take advantage of this weak effort to escape with even lighter consequences.

The Goyal family originally belonged to Agra, where they ran factories that made iron products like rebars, girders, and furnace parts. But after the Supreme Court’s order related to the Taj Trapezium Zone (TTZ), which required shutting down or shifting highly polluting industries, they had to move their factories out of that area.

So, in 1998, the Goyal family shifted to Aligarh. Amit Goyal’s father, Moolchand Goyal, along with other family members, started new businesses there: Jhamman Lal Rebar Mill, LD Goyal Rolling Mill, and Balaji Furnace Factory in Sasni. The Excise and Customs Department (now known as Central GST) had inspected and surveyed their businesses several times.

In 2011, Amit Goyal started another furnace factory in partnership with two Rathi families and one Godani family, under the name Bhole Conquests Private Limited, near Digsi on Gonda Road. However, after about eight months, the partners split up, and Amit Goyal continued to run the factory alone.

Later, the factory was closed around 2012-13. During this time, government departments like Excise, Customs, and State Tax (GST) carried out several surveys and raids. The State GST Department, under Joint Commissioner Gulab Chand, even cancelled the registrations of Amit Goyal’s firms Bhole Conquests Pvt. Ltd., Amit Traders, and Naman Traders due to irregularities.