Authorities Uncover ₹1,336 Crore GST Fraud Across India

Investigations reveal a network of shell companies generating fake invoices and fraudulent Input Tax Credit claims in multiple states.

The Directorate General of GST Intelligence (DGGI) uncovered a ₹1,196 crore GST fraud involving shell companies in Pune, Delhi, Noida, and Muzaffarnagar.
The fraudulent network used fake invoices and e-way bills without RFID movements to claim and pass on bogus Input Tax Credit (ITC).
Authorities arrested a private firm director in Muzaffarnagar, identified as the mastermind behind the ₹1,196 crore scam.
In a separate case, the CGST Mumbai Zone exposed a ₹140 crore fake GST invoice racket, with ₹26.92 crore in fraudulent ITC claims.
The Mumbai operation led to the arrest of Mahamad Sultan Kapadiya, who created 18 dummy firms using misused personal credentials for fraudulent transactions.