Directorate General of GST Intelligence (DGGI), Belagavi Zonal Unit, has reported a GST fraud case involving fake invoices valued at approximately ₹145 crore. This has resulted in an alleged tax evasion of around ₹43 crore. The investigation revealed that a group of individuals used forged documents to create false GST registrations and fraudulently availed and passed on input tax credit (ITC). During a search of the accused’s premises in Bengaluru, officers recovered various documents and evidence, including a mobile phone, fictitious Aadhaar cards, and images of non-functional business signboards. The findings suggest the use of shell entities that had no real business operations. The individual arrested has been placed in judicial custody, and the investigation is ongoing to identify other parties involved.
Ministry of Finance
DGGI Belagavi Zonal Unit uncovers fraud involving issuance of fake GST invoices of around Rs. 145 crore and tax evasion of Rs. 43 crore; one arrested
Posted On: 30 AUG 2025 7:39PM by PIB Delhi
The Directorate General of GST Intelligence (DGGI), Belagavi Zonal Unit has registered a case and uncovered a GST fraud involving issuance of fake invoices valued at approximately Rs 145 crore, resulting in alleged tax evasion of about Rs 43 crore. One individual has been arrested in connection with the case.
Preliminary findings indicate that a group of people created fake GST registrations using forged documents and availed and passed on fraudulently availed ITC. During the search of the accused’s premises, officers recovered several documents/ evidences, including a mobile phone, forged documents, fictitious Aadhaar cards and photographs of signboards of non-functional units. The investigation further indicates the use of shell entities with no genuine business operations to generate fake invoices and e-way bills.
The accused was arrested under Section 69 of the CGST Act, 2017 in Bengaluru and produced before the Special Court for Economic Offences, which granted transit remand for his transfer to Belagavi. He was subsequently produced before the Judicial Magistrate, Belagavi, and has been remanded to judicial custody for seven days.
Further investigation is in progress.
