The Investigation Branch of the Maharashtra State GST Department, Nagpur, has arrested Mahesh Keshwani, proprietor of M/s K&K Brothers, for allegedly availing and passing on fraudulent ITC worth Rs 33.93 crore. The arrest is part of the department's ongoing special drive against fake invoicing and tax evasion.
According to officials, Keshwani's firm, registered under the Maharashtra Goods and Services Tax (MGST) Act, 2017, was found claiming ITC without any actual purchase or movement of goods. Investigations revealed that the firm had sourced fake ITC from suppliers whose GST registrations had already been cancelled.
Fake Invoicing Network Busted
A recent search operation at the firm's Jaripatka office in Nagpur led to the seizure of incriminating digital evidence, including system-generated reports, pointing to the firm's active role in a larger fake invoicing network. Officials believe this network was created to facilitate tax evasion by issuing bogus invoices and fraudulently passing on tax credits.
Following his arrest, Keshwani was produced before the magistrate and has been remanded to judicial custody until August 14, 2025.
Operation Led by MGST Officials
The operation was conducted under the leadership of Assistant Commissioner Ramesh Dalvi, with strategic direction from Additional Commissioner Tejrao Pacharne and other senior officials of the Maharashtra GST Department.
Authorities have reiterated their commitment to tightening enforcement, especially in light of rising cases of fake GST invoices, which cause substantial revenue losses to the exchequer and undermine honest taxpayers.
The department has urged businesses to ensure proper due diligence when dealing with vendors and to report any suspicious activities to help curb such fraudulent practices.
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