DGGI Arrests Orange Transport MD, Another Businessman in ₹50 Crore GST Evasion Cases

The Directorate General of GST Intelligence (DGGI) has arrested two businessmen in Hyderabad in connection with separate cases of alleged Goods and Services Tax (GST) evasion amounting to nearly ₹50 crore, officials said on Wednesday.

Those arrested include Sunil Kumar, Managing Director of Orange Passenger Transport, and N. Chethan, Managing Director of Trillion Lead Factory. The arrests were made by the DGGI’s Hyderabad zonal unit following intelligence inputs pointing to organised GST evasion networks operating across multiple sectors.

According to officials, Sunil Kumar allegedly collected ₹28.24 crore as GST from customers but failed to remit the amount to the government even three months after the statutory due date. Authorities said the non-payment constituted a serious violation under tax law.

In a separate case, N. Chethan is accused of orchestrating a fake Input Tax Credit (ITC) racket involving transactions worth approximately ₹22 crore. Investigators allege that the scheme was used to fraudulently claim tax benefits without actual movement of goods or legitimate business activity.

Both individuals were arrested under provisions of the Central Goods and Services Tax Act, 2017. Officials said further investigation is underway to identify additional entities and individuals who may be linked to the alleged tax evasion operations.

The DGGI has intensified enforcement actions in recent months as part of a broader crackdown on GST fraud, including fake invoicing, ITC manipulation, and deliberate tax non-remittance.