A labourer from Rajasthan discovered that a fake firm had been registered in his name in Delhi, carrying out transactions worth over Rs 18 crore and evading more than Rs 3 crore in GST.
Veerdharam, a daily wage labourer from Balotra currently employed in Sardarshahar, Churu, found himself at the centre of a major financial fraud when he visited his Chartered Accountant to file his annual income tax return. To his astonishment, he was informed that a business named "Virdha Traders", dealing in copper scrap and other goods, was registered in his name with a GSTIN of 07CKIPR5140J1ZV.
Fraud Detected During Income Tax Filing
Veerdharam routinely files income tax and gets TDS on his wages. However, this year, while preparing to file his returns, his CA informed him about the massive business activity linked to his PAN and Aadhaar details.
The firm, registered on January 22, 2025, was found operating out of House No. 810, Ground Floor, North West Delhi, near Sabzi Mandi Main Market. Despite being unaware of its existence, Aadhaar authentication for the firm was recorded as "successful" on July 10, 2025, indicating misuse of his personal documents.
Identity Misused, OTP Accessed Without Consent
The fraudsters had used Veerdharam's PAN card, Aadhaar card, and mobile number to establish the firm. The authentication process included an OTP verification, which was apparently accessed without his consent, pointing to a breach of his mobile security.
The bogus company reportedly traded in copper scrap, copper rods, copper products, and polythene, resulting in transactions exceeding Rs 18 crore. GST dues alone amounted to more than Rs 3 crore.
Legal Action and Investigation Underway
Veerdharam lodged a formal complaint on July 24 at the Gida Police Station in Balotra, prompting coordination with State GST officers. The matter has now been escalated to GST officials in Delhi for further action, including cancellation of the fraudulent GST registration.
He has also approached the Central Board of Excise and Customs (CBEC) and informed Additional Commissioner Manish Kumar Jha at the office of the Principal Chief Commissioner of GST and Central Excise in Delhi.
Broader Implications of Aadhaar-PAN Misuse
This case has raised serious concerns about the misuse of Aadhaar and PAN details in company registrations and GST compliance. Authorities are now examining how such a large-scale operation could be registered and authenticated without the knowledge of the actual individual.
Police have begun tracing the perpetrators and are investigating how the documents and OTPs were obtained and used. Sources suggest more such cases could come to light as authorities dig deeper into fake firm registrations and GST evasion rackets.
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