Massive GST Evasion Network Uncovered: Fake Firms Operated Across 19 States:

Massive GST Evasion Network Uncovered: Fake Firms Operated Across 19 States

A Lucknow-led investigation has exposed a Rs. 368 crore GST fraud involving 122 fake companies operating across 19 Indian states.

Lucknow Probe Uncovers Nationwide Tax Racket

authorVanshika vermadateNov 5, 2025
Last update on Nov 5, 2025
Massive GST Evasion Network Uncovered: Fake Firms Operated Across 19 States The State Bureau in Lucknow has uncovered a big network involved in GST evasion by creating fake companies. This network operates in 19 states across India, from Jammu and Kashmir to Tamil Nadu. Out of 122 fake companies registered using just two mobile numbers, only 26 are in Uttar Pradesh, while 96 are in other states. The authorities in those states have also started investigating these fake firms.
CGST Delhi South Commissionerate Unearths Large-Scale GST Evasion Case Worth Rs. 31.95 Crore; Key Accused Arrested
Once the investigation into fake firms in other states gets complete, a significant tax evasion scam may be exposed. However, a case of tax evasion of Rs 368 crore in the iron business through the creation of a fake firm has already been exposed. Nitin Bansal (State Tax Commissioner) has sent detailed information to the states where business has been conducted through fake firms. He has also made contact with state officials and asked them to investigate such companies. Other states have also initiated investigations into such firms. Of the 122 firms, 26 are registered in Uttar Pradesh. Of these 26, eight are registered under GST while 18 are registered under CGST, according to sources.
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Fake companies have done business in Uttar Pradesh, Jammu and Kashmir, Haryana, Punjab, Rajasthan, Assam, Jharkhand, Odisha, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Telangana, Uttarakhand, Bihar, West Bengal, Tamil Nadu and Andhra Pradesh.

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Vanshika verma

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Vanshika Verma is a Content Writer with 1+ year of experience at Studycafe.in. A B.Com graduate from Delhi University, She writes articles on Finance, Tax, ICAI, GST, and the latest financial news, with a focus on making complex topics easy for readers and professionals.
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