A case has been registered against four persons in Maharashtra’s Thane district for allegedly creating fake GST-registered firms and fraudulently claiming input tax credit (ITC) amounting to over ₹22.06 crore, police officials said on Sunday

Fake firms used to claim massive tax credit

The case was registered following a complaint filed by an official of the State Goods and Services Tax (SGST) department. Based on the complaint, the police in Kalyan booked Nikhil Gaikwad, the owner of Dynamic Enterprises, Noor Mohammad Vasim Pinjari, Navnath Sukrya Gharat, and an individual identified as Sarfaraj, along with a few others who are yet to be identified.

According to the police, the accused allegedly created eight fake companies and used them to wrongfully claim ITC by submitting fabricated documents to government authorities.

Fraud carried out over several months

An official from the MFC police station said the alleged fraud took place between April and August this year. During this period, the accused are said to have prepared false documentation and submitted incorrect information to obtain GST registration certificates under the Goods and Services Tax framework.

“The accused prepared false documents for a company and submitted incorrect information to the government to obtain GST registration. Using these fake firms, they managed to claim ITC worth ₹22.06 crore,” the official stated.

Serious charges invoked, probe ongoing

The accused have been booked under multiple sections of the Bharatiya Nyaya Sanhita, including Section 111 (organised crime), Section 316 (criminal breach of trust), Section 318 (cheating), and Section 320 (dishonest or fraudulent removal or concealment of property). They have also been charged under relevant provisions of the Maharashtra Goods and Services Tax Act.

Police said no arrests have been made so far, but investigations are underway to trace the flow of funds and identify other individuals involved in the alleged scam.

Officials added that the case highlights ongoing efforts by tax authorities and law enforcement agencies to crack down on GST-related frauds, which have emerged as a major challenge for revenue collection across the country.