Indore, Jun 18: The money earned through evasion of GST in an illegal trade of pan masala and tobacco products by a racket here which was recently exposed could have been sent to Pakistan and Dubai, DGGI told a local court on Thursday.

The Directorate General of Goods and Services Tax Intelligence (DGGI) arrested Indore-based industrialist, Kishore Wadhwani (55) in connection with the illegal trade from a hotel in Mumbai on June 15. He was produced before judicial magistrate (first class) Anupriya Parashar here on Thursday.

Special public prosecutor Chandan Airen urged the court to send Wadhwani in the custody of the probe agency till June 22. The court granted the request. The DGGI alleged that Wadhwani was the main beneficiary of the inter-state GST evasion racket as well as it main conspirator.

The agency was trying to collect evidence regarding suspected routing of money obtained from the racket to Pakistan and Dubai, it said. Wadhwani has resident visa of the United Arab Emirates (UAE) and had invested in a hotel business in Dubai, the DGGI alleged.

Wadhwanis lawyer termed all these allegations as false and said that he had nothing to do with GST evasion. THe DGGI, meanwhile, also informed the court that during transit remand process at Mumbai court, Wadhwani claimed that he had contracted coronavirus, but he tested negative during medical check-up.

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