Neha Vs Union of India & Ors. (Delhi High Court)
Summary: The Delhi High Court considered connected writ petitions concerning allegations of fraudulent GST registrations obtained by other persons using the PAN Card and Aadhaar Card particulars of innocent persons. The first matter in the order is W.P.(C) 12210/2026 filed by Neha against the Union of India and others; the order also records the connected W.P.(C) 6218/2026. On 01.09.2026, the Court considered the exemption application and then recorded its earlier order dated 21.08.2026, in which it noted the allegation that fraudulent GST registration had been obtained by another person using the petitioner’s PAN and Aadhaar details. The Court had also observed that, if such allegations were accepted, fraudulent GST registrations could create substantial liabilities in the names of innocent persons, and had requested Mr. Tarun Gulati, learned Senior Counsel, to assist the Court by suggesting ways and means to curb such practices.
In compliance, Mr. Tarun Gulati placed suggestions on record, along with instructions issued by the concerned authorities from time to time, addressing misuse of PAN Card and Aadhaar Card particulars for obtaining fraudulent GST registrations. The suggestions included mandatory facial recognition with the Aadhaar database during registration, video-based verification of PAN and Aadhaar, preservation of IP address and device-location data, mandatory physical verification of the proposed principal place of business or random inspections, real-time data sharing with the Income Tax Department and alerts to PAN holders, risk flagging for sudden increases in turnover, confirmation from Aadhaar holders regarding the business registered under their Aadhaar, messages through Digilocker, creation of PAN-Aadhaar mismatch and first-time-use risk parameters by DGARM, and nomination of identifiable persons who could corroborate the applicant’s identity and the existence of the proposed business.
