Home / Crime and Justice / Delhi Police Busts Rs 128 Crore GST Fraud Ring
Delhi Police Busts Rs 128 Crore GST Fraud Ring
16 May
Summary
- Six individuals arrested for swindling Rs 128 crore through GST fraud.
- Fake firms were used to generate bogus invoices and claim wrongful Input Tax Credit.
- One victim's documents were used to create a fake firm for transactions over Rs 128 crore.
The Delhi Police's Economic Offences Wing (EOW) has apprehended six individuals in connection with an alleged Goods and Services Tax (GST) fraud amounting to Rs 128 crore. The operation targeted a sophisticated cartel that utilized shell companies and extensive fake invoicing to commit the fraud.
The accused allegedly established fake firms, generated fictitious GST invoices, and fraudulently claimed Input Tax Credit (ITC) without engaging in any genuine supply of goods or services. Investigations revealed that some firms were created using victims' personal documents, such as Aadhaar and PAN cards, without their knowledge.
One such fake entity, M/s RK Enterprises, was created in September 2025 using a victim's details and subsequently involved in transactions exceeding Rs 128 crore. This fake firm alone fraudulently availed nearly Rs 10 crore in ITC. The EOW is continuing its investigation to identify all beneficiaries and entities connected to this syndicate.
The probe, employing technical surveillance and digital evidence analysis, identified Raj Kumar Dixit and Dilip Kumar (still at large) as the primary conspirators. Dixit allegedly orchestrated the creation of approximately 250 shell companies from Daryaganj to facilitate bogus billing and fraudulent ITC claims, concealing financial trails through numerous bank accounts and intermediaries.
