In a sweeping anti-evasion drive, Assam’s tax authorities have unearthed a ₹5.8 crore GST refund fraud, exposing a network of fake firms and bogus invoices operating across the state. The raids, conducted by the State GST Department in coordination with central agencies, mark one of the largest tax evasion crackdowns in Assam’s recent history.
🕵️♂️ Anatomy of the Fraud
Investigations revealed that 96 fake firms were created to fraudulently claim GST refunds without conducting any real business. These entities, allegedly involved in bogus exports of medical items, used forged e-way bills and invoices to siphon off government funds.
- Fake invoices worth ₹176.7 crore were generated
- Refunds of ₹5.8 crore were claimed between January 2020 and September 2021
- 23 firms were linked to a single group using common email IDs and mobile numbers
👥 Key Arrests and Ongoing Probe
The Anti-Corruption Branch (ACB) has arrested 16 individuals, including:
- 3 main conspirators
- 4 proprietors of shell companies
- Several GST consultants and transporters
Authorities are now probing the role of GST officials who allegedly sanctioned time-barred refund applications and overlooked Aadhaar authentication and physical verification during firm registration.
🧾 Government Response and Reforms
The Assam government has vowed to tighten GST registration protocols, enhance biometric verification, and deploy AI-based fraud detection tools.
“This is a wake-up call. We are committed to eliminating tax fraud and restoring public trust,” said a senior GST official.
📊 National Context
The crackdown aligns with a broader national effort, where over 25,000 fake firms were detected across India in FY25, involved in fraudulent ITC claims worth ₹61,545 crore.
Stay tuned for updates on Assam’s anti-evasion reforms.
