Karnataka GST enforcement busts Rs 1,464 cr interstate fake invoice racket, 4 arrested
Bengaluru, January 5: The Enforcement Wing (South Zone) of the Commercial Taxes Department, Government of Karnataka, led by Additional Commissioner Kanishka,…
KANISHKA
Bengaluru, January 5: The Enforcement Wing (South Zone) of the Commercial Taxes Department, Government of Karnataka, led by Additional Commissioner Kanishka, has uncovered a massive interstate fake invoicing cartel operating across Karnataka and Tamil Nadu, involving fraudulent transactions worth ₹1,464 crore.
Kanishka, a 2021 batch IAS officer, hails from Jamshedpur in Jharkhand.
The racket resulted in the wrongful availment and passing of Input Tax Credit (ITC) of nearly ₹355 crore, without any actual movement of goods.
Fraud Detected Through Advanced GST Analytics
The scam was detected using advanced GST system analytics, including the in-house Non-Genuine Taxpayer (NGTP) module developed by the Enforcement Wing (South Zone). IP address trails and GST back-office data revealed abnormal invoicing patterns and circular ITC flows, leading to focused enforcement action under the supervision of Additional Commissioner Kanishka.
Searches Conducted Across Four Cities
During coordinated search and seizure operations led by the Enforcement Wing (South Zone), headed by Additional Commissioner Kanishka, across Bengaluru, Chennai, Vellore, and Pernampattu, officials seized mobile phones, SIM cards, pen drives, bank statements, and rubber stamps of multiple shell entities.
Four Accused Arrested in Coordinated Interstate Operation
In a first-of-its-kind coordinated interstate action, four key accused were arrested with the cooperation of the Tamil Nadu Commercial Taxes Department. All accused were produced before the Special Court for Economic Offences, Bengaluru, and remanded to 14 days of judicial custody.
Enforcement Wing Reiterates Commitment
The Enforcement Wing (South Zone), under the leadership of Additional Commissioner Kanishka, reiterated its commitment to technology-enabled and intelligence-driven enforcement to dismantle Non-Genuine Taxpayer networks, safeguard government revenue, and protect the integrity of the GST regime.
