The Directorate General of GST Intelligence (DGGI), Belagavi Zonal Unit, has exposed a large-scale fake invoice racket involving transactions worth around ₹145 crore, causing an estimated tax loss of ₹43 crore.
Officials said that a network of individuals allegedly obtained GST registrations using forged documents to wrongfully claim and pass on Input Tax Credit (ITC). During searches, officers seized forged Aadhaar cards, fabricated papers, photos of signboards of non-operational firms, and a mobile phone linked to the fraud.
Investigations revealed that shell companies with no genuine business activity were created to issue bogus invoices and generate e-way bills.
One suspect has been arrested in Bengaluru under Section 69 of the CGST Act, 2017. He was produced before the Special Court for Economic Offences, which granted a transit remand for his transfer to Belagavi. The Judicial Magistrate there has remanded him to seven days’ judicial custody.
Authorities confirmed that further investigation is in progress to trace other persons involved in the racket.
