THE Anti-Evasion wing of Central Goods and Services Tax (CGST) and Central Excise, Nagpur-II Commissionerate has busted a major fake GST credit fraud involving fraudulent Input Tax Credit (ITC) of about Rs 11.01 crore and arrested one person. Investigations by the anti-evasion wing of the CGST Nagpur-II Commissionerate revealed that a company is actively engaged in availing fraudulent ITC solely on the basis of invoices without any underlying supply of goods or services.

 

The case was detected using internally developed intelligence and advanced data analysis tools, which revealed that M/s Rajveer Enterprises, run by Atul Prakashrao Deshmukh, was found to have taken fraudulent ITC of Rs 11.01 crore on fake invoices without receipt of any goods or services and has passed on ineligible ITC by issuing invoices/filing GSTR-1 amounting to Rs 11.17 crore, without any underlying supply of goods or services.

 

During investigation, Atul Prakashrao Deshmukh admitted to masterminding the fraud, earning commissions, and directly benefiting from the illegal proceeds. Consequently, he was arrested on October 30, 2025 and produced before the Judicial Magistrate, Nagpur on October 31, 2025, who granted the accused judicial custody of 14 days. Further investigation is underway in the case. The CGST Nagpur-II Commissionerate has reaffirmed its strong stance against tax fraud, assuring strict action against individuals and entities indulging in GST evasion.