GST Fraud News: A GST scam worth ₹7 crore has been uncovered. In connection with the case, the police have identified 13 shell companies that were used to generate fake invoices. According to the police, the accused defrauded a local businessman under the pretext of arranging a bank loan and obtained his GST credentials. Subsequently, these very details were used to carry out fraudulent transactions. This GST fraud took place in Pilibhit, Uttar Pradesh.
Fraud Committed by Posing as a Loan Agent
The complainant, Mohammad Naeem, is a resident of Mohalla Chhota Khudaganj and the proprietor of Shahji Enterprises. He is engaged in the business of handpump installation and labor services. In his complaint, Naeem stated that on January 12, 2026, an individual named Ajmal—alias Sameer Rana—approached him posing as a loan agent and, under the pretext of facilitating a loan, obtained his GST ID, password, and Aadhaar details.
Returns Filed for Purchases Worth ₹7 Crore
This matter came to light on March 13, when officials from the GST Department contacted Naeem and informed him that purchases amounting to approximately ₹7 crore had been recorded under his GST ID, yet no returns had been filed. Subsequently, when Naeem confronted the accused, he was verbally abused and threatened with dire consequences.
Bills Generated in the Names of 13 Fraudulent Companies
Kotwali In-charge Satyendra Kumar stated that a case has been registered based on the victim’s complaint, and an investigation is underway. During the investigation, the police discovered that fraudulent bills had been generated in the names of approximately 13 fictitious companies. He added that the records of all 13 companies are being scrutinized to expose the entire syndicate. Further action will be taken based on the evidence gathered.