In Auraiya district of Uttar Pradesh, police have revealed a major organized gang involved in GST tax evasion. Superintendent of Police Abhishek Bharti reported that approximately 2 crore, 29 lakh, and 50 thousand rupees were claimed in ITC, resulting in substantial revenue loss to the government. Four suspects have been arrested in connection with this fraudulent activity.

According to Superintendent Bharti, the fraud was first reported in July 2025. The GST department registered a case at the Kotwali police station in Auraiya. During the investigation, several fictitious companies were uncovered, including Sharda Trading Company (Khasba Khanpur, Auraiya), Bagwani Trading Company (Madhya Pradesh), and other firms registered in Jharkhand. These companies were operational only on paper and were not engaged in any actual business activities.

The investigation revealed that the accused lured poor and needy individuals by offering them between 10,000 to 15,000 rupees to obtain their Aadhaar cards, PAN cards, bank account details, and mobile numbers. After collecting this information, they created fake rental agreements and electricity bills to secure GST registration, effectively perpetrating the scam.