Tax Evasion Uncovered: Rs 8.52 Crore Fraud Busted

The CGST's Anti-Evasion Branch has arrested two individuals for a tax fraud involving Rs 8.52 crore through fake invoices worth Rs 199.9 crore. Raids revealed non-existent premises. The accused are currently in judicial custody, and investigations continue to trace fund flows and identify further beneficiaries.

The Anti-Evasion Branch of the Central Goods & Services Tax (CGST) has detained two individuals on charges of fraudulently claiming Rs 8.52 crore in input tax credit using bogus invoices worth Rs 199.9 crore, according to a Thursday release from the finance ministry.

During searches conducted on January 12-13, 2026, the CGST Delhi South Commissionerate unearthed closed or non-existent business premises with little to no activity. The arrested individuals have been identified as a proprietor and his father, both direct beneficiaries of the scheme.

The offence, which falls under Section 132 of the CGST Act, 2017, has led to the accused being placed in judicial custody for 14 days. Authorities continue to investigate the fund flow and aim to identify additional beneficiaries.

(With inputs from agencies.)