CGST Ludhiana busts Rs 455 crore fake GST billing scam in iron and steel sector; 2 arrested

Acting on specific intelligence, officers of the Central Goods and Services Tax (CGST) Commissionerate, Ludhiana, conducted multiple search operation and unearthed a massive fake GST invoice racket worth Rs 455 crore, an official statement said on Thursday.

Three related firms were involved in availing bogus invoices and utilized ineligible Input Tax Credit (ITC) worth Rs 69.41 crores to set off their GST liabilities.

Following the search operations, two individuals -- a man and his son, who were operating and controlling these firms -- were arrested under the provisions of Central GST Act, 2017 and later sent to judicial custody.


The investigation is ongoing to uncover the full extent of the network and identify other entities involved, the statement said.