Maharashtra: Thane CGST Busts ₹140 Cr Fake GST Invoice Racket, 1 Arrested

The officers of the Thane CGST Commissionerate, under the CGST Mumbai Zone, have busted a fake GST invoice racket involving fraudulent transactions worth 140 crore rupees and arrested one person from Thane.

The operation was designed to avail a fraudulent Input Tax Credit (ITC) amounting to 26.92 crore rupees.

The arrested person, a resident of Mira Road East, was accused of creating a network of fake firms to generate fraudulent invoices and illegally pass on ITC without any actual supply of goods or services.

The investigation revealed that over 18 dummy entities were established solely for the purpose of defrauding the government. To carry out the scam, he misused Aadhaar, PAN, and other KYC documents of individuals, which he obtained in exchange for money. He then used these credentials to fraudulently secure GST registrations and open bank accounts under the names of fake firms.