FIR against OYO, founder Ritesh Agarwal over ‘wrong’ GST notice of Rs 2.66 crore

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A resort in Jaipur has lodged an FIR against travel booking platform OYO after it received GST notices worth crores, claiming that the notice was on the basis of “incorrect information provided by OYO.

The FIR was lodged on a complaint by Madan Jain, associated with Samskara Resorts, in Jaipur’s Ashok Nagar police station last week. Jain said that Samskara Resorts received a GST show cause notice of Rs 2.66 crore. In the FIR, Jain has said that “to show an inflated annual turn-over, thousands of fake bookings were shown in the name of Samskara resort”.

The FIR names Oravel Stays Private Limited or OYO, as well as Ritesh Agarwal, the founder and group CEO of OYO, and several others, and has been lodged for cheating, criminal breach of trust, forgery and criminal conspiracy under the Bharatiya Nyaya Sanhita (BNS).

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The FIR states that Samskara Resort in Jaipur provides services via online booking as well as walk-in. Jain said that an agreement was signed between Samskara and OYO on April 18, 2019, for 12 months, but OYO allegedly also showed bookings in Samskara for financial years 2018-19, 2019-20, and 2020-21.

The FIR states that between April 18, 2019 and April 20, 2020, OYO provided Samskara a business of Rs 10.95 lakh for which the GST was paid by the resort. However, OYO has allegedly shown a business of Rs 22.22 crore with Samskara, for which the GST Rs 2.66 crore GST bill is pending, apart from penalty.

Husain Khan, president of Hotel Federation of Rajasthan, alleged that about 20 hotels have received GST notices on the basis of inflated bills allegedly shown by OYO. He said that OYO has had a “poor record” with hotels and four years ago too “we had campaigned against it, with 125 hotels displaying banners outside the hotels stating that we are not accepting OYO bookings”.

OYO spokesperson Abhishek Sinha could not be reached for comments.

© The Indian Express Pvt Ltd





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