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Fraudsters in Agra are allegedly misusing the Aadhaar cards, PAN cards, and property mutation receipts of ordinary citizens to register bogus firms under the Goods and Services Tax (GST) system and claim fraudulent Input Tax Credit (ITC). An investigation by the GST department in the Agra zone has uncovered a wider syndicate operating fake businesses on paper using residential and commercial addresses that have no actual commercial activity. More than 40 suspicious firms are currently under the scanner of the department, and First Information Reports (FIRs) have been registered in several cases.
According to investigators, members of the syndicate collect identity and address documents from unsuspecting individuals on the pretext of arranging loans, securing jobs, or through local agents. Officials suspect the involvement of certain photocopy shops, public facilitation centres, and cyber cafe operators in sourcing these records. Once obtained, the documents are used to register shell firms on the GST portal. These entities then issue fake invoices and fabricate transport receipts, known as bilties, to show the movement of goods on paper and siphon off crores of rupees from the government exchequer through wrongful ITC claims.
Field Verification Exposes Non-Existent Businesses
Physical inspections conducted by the Special Investigation Branch (SIB), the Special Investigation Team (SIT), and departmental officials revealed that the registered addresses of these firms had neither offices nor warehouses. In one instance, MS UB Enterprises, registered under the name of Umesh Kumar at A-221 Krishna Industrial Shed on Gwalior Road, was found to be a closed shop during an SIB inspection. Torrent Power confirmed that the electricity bill submitted as address proof was fake, while both mobile numbers registered on the GST portal were inactive. The Aadhaar and PAN cards used for registration were also found to be forged. After detecting an alleged ITC fraud of nearly Rs 1 crore, Deputy Commissioner Vijay Bahadur lodged an FIR at the Lohamandi police station on May 12, 2026.
In another case, MS Sukhmani Traders, registered under Sonia Rani with addresses in Ludhiana and H-14 Sagar Building in Gopalpura, Agra, continued to claim ITC even after its registration was cancelled on March 9, 2025. The firm allegedly claimed Rs 41 lakh in ITC during the 2025-26 financial year. When officials visited the Agra address, they found a tea stall operating at the site, and the shop owner denied knowing Sonia Rani. An FIR was filed on January 2, 2026.
Crores Claimed on Paper Without Any Operations
Similarly, Satvik Enterprises, registered in March 2025 under the name of Arjit Singh at 33/23 Wazirpura, showed inward supplies worth Rs 23 crore on paper. An SIT verification found that the firm did not exist at the given address, and both the Aadhaar card and electricity bill submitted for registration were forged. The department registered an FIR on March 24, 2026, over fraudulent ITC claims.
Citizens Urged to Mark Photocopies Before Sharing
Victims whose documents are misused often learn about the fraud much later, forcing them to visit police stations, government offices, and courts to prove their innocence after receiving official notices. GST advocate Manoj Sharma advised citizens to always write the specific purpose and date clearly across photocopies of their Aadhaar and PAN cards before handing them over to anyone. Additional Commissioner (Grade-1), State Tax, Pankaj Gandhi stated that SIT, SIB, and departmental probes have identified firms operating on forged documents, FIRs have been registered against those responsible, and further investigation is underway.
