Archive · 12 Sep 2025
ED: Big MNCs Benefitted from Multi-Crore GST Fraud
The ED is investigating a large tax fraud scheme.
Companies were falsely claiming tax credits by pretending to buy goods.
Some companies created fake invoices and records.
Big multinational companies are suspected of benefiting from these fake tax credits.
Several companies have admitted to fraudulent activities.
The investigation involves multiple states and has uncovered a widespread misuse of the GST system, including fake invoicing and fund transfers.
The ED is still investigating how much the MNCs benefitted.
The Enforcement Directorate (ED) is investigating a multi-crore GST fraud involving fake Input Tax Credit (ITC).
Searches were conducted across multiple states, including Arunachal Pradesh and Haryana.
Big multinational companies are suspected of benefiting from the fraudulent transactions.
Several companies admitted to falsely claiming ITC.
The investigation revealed systematic misuse of the GST framework through bogus invoicing and fund transfers.
- Who
- The Enforcement Directorate (ED)
- What
- Found that big MNCs benefitted from a multi-crore GST fraud involving fake Input Tax Credit (ITC).
- When
- Searches were conducted on Thursday.
- Where
- Premises in Arunachal Pradesh, Delhi, Haryana, Tamil Nadu, and Telangana were searched.
- Why
- To investigate fraudulent ITC claims and potential money laundering.
- Agency
- Enforcement Directorate (ED)
- Fraud Type
- Fake Input Tax Credit (ITC)
- Entities Involved
- MNCs, Amit Traders, Shree Ram Enterprises, Rainbow Enterprises, A K Enterprises, Tanor Engineering, Vinardh Automobiles, Jai Shree Balaji Traders, Jai Shree Balaji Trading Co., Prisha Exim
- States Searched
- Arunachal Pradesh, Delhi, Haryana, Tamil Nadu, Telangana
- Alleged Amount (Shree Ram)
- ₹116 crore
