Bhopal:
In what could be one of the biggest GST frauds uncovered in central India, the Economic Offences Wing (EOW) has unearthed a fake invoicing scam worth Rs 512 crore and fraudulent Input Tax Credit (ITC) claims of Rs 130 crore. The alleged mastermind, Vinod Sahay, also known by his aliases NK Khare and Neelu Sonkar, has been arrested from Ranchi and brought to Jabalpur on transit remand.
Mr Sahay, originally from Tibri village in Jabalpur, had allegedly been operating a well-organised scam since 2009, using multiple fake identities and running a network of over 23 shell companies across several states. These companies existed only on paper, with no real business operations, goods, or services, but were used to generate fake GST invoices and siphon off massive tax credits.
Investigators say these entities showed extensive trade on paper but had no connection to any physical stock, warehouse, or logistics chain.
The EOW has identified more than 150 bank accounts linked to Sahay and his network. Raids at his residence led to the seizure of forged documents, GST bill books, Aadhaar and PAN cards, fake transport receipts, and digital identities.
The syndicate had its operational footprint across Jabalpur, Nagpur, Bilaspur, Korba, and Ranchi. Officials suspect the fraud was carefully crafted using digital loopholes and fake identity layering to avoid detection for over a decade.
Mr Sahay will remain in police custody until July 2, and sources in the EOW say this is likely just the tip of the iceberg. “This appears to be the biggest GST scam we’ve come across in the region,” an investigating officer told NDTV. “The network is deep and may involve several layers of accomplices, including financial operatives.”
As the investigation expands, authorities are also probing potential links to interstate financial crime networks and the misuse of digital identities.
