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UP STF Busts ₹500 Cr GST Fake Invoice Racket: 8 Arrested in Massive Shell Firm Crackdown

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The Uttar Pradesh Special Task Force (STF) has dismantled a large-scale Goods and Services Tax (GST) fraud operation allegedly responsible for evading more than ₹500 crore in government revenue. Authorities say the network operated through dozens of shell companies across multiple states, issuing fake invoices and e-way bills to illegally pass on Input Tax Credit (ITC) to legitimate businesses.

Eight people have been arrested so far in what officials describe as a highly organized and technologically driven financial crime syndicate. Further arrests are expected as the investigation expands.

Meerut and Ghaziabad at the Center of Operations

According to investigators, the fraud was primarily coordinated from Meerut and Ghaziabad. The alleged kingpin, Dilshad Malik, is believed to have overseen the operation from offices linked to accounting and financial consultancy services in the region.

The other arrested individuals have been identified as Ramesh Patel, Ankur Tiwari, Swatantra Kumar Tiwari, Mohammad Wasim, Mohammad Sohel, Javed Malik and Ikramuddin. STF officials said each member had a specific role, ranging from registering companies using forged documents to managing billing, generating e-way bills and filing GST returns.

All eight suspects were taken into custody following coordinated raids and interrogations by the STF’s Meerut unit.

Over 90 Shell Firms Uncovered

Search operations conducted at multiple locations led to the seizure of extensive evidence, including laptops, mobile phones, rubber stamps, cheque books, debit and credit cards, copies of Aadhaar and PAN cards, billing files, transport logbooks and large amounts of cash. Four vehicles allegedly used by the group were also confiscated.

Preliminary analysis of the seized documents suggests the existence of more than 90 shell companies created solely to facilitate fake transactions. Officials believe the network expanded steadily over time to increase the scale of fraudulent billing.

Fraud Spread Across Several States

While many shell firms were registered in districts such as Meerut, Ghaziabad, Hapur, Noida, Lucknow, Kanpur, Agra and Varanasi, the STF said the racket had a nationwide footprint. Fake firms and linked transactions were traced to states including Maharashtra, Gujarat, Madhya Pradesh, Tamil Nadu, Kerala, Karnataka, Telangana, Bihar, Jharkhand, Assam and Delhi.

Investigators are also examining the role of an Agra-based entity, Sharma Enterprises, which is suspected of facilitating GST evasion amounting to nearly ₹137 crore on its own.

WhatsApp Orders and Paper Transactions

Officials said the syndicate relied heavily on messaging platforms such as WhatsApp to coordinate with genuine traders. Businesses allegedly shared their GST numbers and transaction details, after which the accused generated invoices and e-way bills in the names of shell firms and uploaded them to the GST portal.

To create an illusion of legitimate trade, bank transactions were shown on paper. In reality, authorities claim that settlements were largely done through cash adjustments or circular fund movements, with no actual movement of goods or services.

Legal Action and Ongoing Investigation

The case is linked to a First Information Report registered at Lohamandi police station in Agra. The accused have been booked under provisions of the Behavioural Non-Compliance and GST Fraud (BNS) Act, which covers offences involving fake invoicing, misrepresentation and fraudulent claims of ITC.

The STF has begun forensic analysis of electronic devices and financial records and is tracking complex bank trails associated with the shell companies. Officials said coordination with GST authorities and other enforcement agencies has been intensified to identify additional beneficiaries and dismantle the wider network.

“This appears to be a deep-rooted and well-planned operation,” an STF official said, adding that the scale of the fraud may grow as more data is examined.

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Corporate Crime

Gujarat Bribery Scandal: ED Raids IAS Rajendrakumar Patel, ₹67.5 Lakh Cash Seized; ACB Files FIR After Collector’s Removal

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Gujarat’s bureaucracy is under intense scrutiny as 2015-batch IAS officer Dr. Rajendra Kumar Patel faces corruption and money-laundering allegations. Following a raid by the Enforcement Directorate (ED), Patel was removed from his post as Surendranagar District Collector, and the Anti-Corruption Bureau (ACB) has filed an FIR against him.

ED Raids Shake the Administration

ED officials recently conducted searches at the Surendranagar Collectorate and associated locations. Following the operation:

  • Dr. Patel was removed from his post and has not received a new assignment.
  • Sensitive files are being examined by both central and state agencies.
  • The FIR filed by the ACB is based on a complaint submitted by the ED after preliminary investigations.

Four Named in the ACB FIR

The FIR, registered on December 23, names:

  1. Dr. Rajendra Kumar Patel – Former Collector, Surendranagar
  2. Jayrajsinh Jhala – Personal Assistant
  3. Mayursinh Gohil – Clerk
  4. Chandrasinh Mori – Revenue Officer

No arrests have been made yet for the others, while investigators are scrutinizing documents, digital records, and financial trails.

₹67.50 Lakh Cash Seized

During the ED operation, ₹67.50 lakh in cash was recovered from Revenue Officer Chandrasinh Mori’s residence. The ED alleges that the cash was collected as bribes for:

  • Fast-tracking land-use applications
  • Ensuring favorable decisions on certain files

Mori was arrested and produced before a PMLA court, which remanded him to ED custody until January 1. Investigators are tracing the money flow and identifying possible beneficiaries.

Bureaucracy on Alert

Sources indicate that additional names, possibly from the 2015 IAS batch, may come under investigation. Several officers from the same batch hold key administrative positions across Gujarat, increasing anxiety within official circles.

Who is Dr. Rajendra Kumar Patel?

  • Home State: Gujarat (Ahmedabad district)
  • Date of Birth: 23 August 1985
  • Civil Services: Joined IAS, 2015 batch (appointed Collector, Surendranagar on 4 February 2025)
  • Educational Background: BDS (Dentistry), MA in Public Policy

Patel’s brief tenure as Collector has now become the focal point of a high-profile corruption probe.

What Lies Ahead

Investigators are currently examining:

  • The origin of the alleged bribe money and its handlers
  • Whether a larger network of officials was involved
  • The potential impact of bribery on administrative decisions

The Gujarat government has indicated that strict action will follow if charges are substantiated, signaling zero tolerance toward corruption in administrative offices.

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Crime

Mastermind Behind 19,000 Fake Aadhaar Cards: Identity Racket Thrived Under the Guise of a Public Service Centre

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The Uttar Pradesh Special Task Force (STF) has dismantled a massive Aadhaar identity fraud racket, arresting Pramod Kumar Nishad, alleged to be the mastermind behind nearly 19,000 fake or altered Aadhaar cards. The accused was apprehended near the Ranjanwa checkpost along the Indo-Nepal border while reportedly attempting to flee the country.

Educated Operator Exploited Digital Systems

Pramod Nishad, 28, a B.Sc graduate from Semari Malmala village in Bahraich, initially gained experience in government-linked digital services through training at a public service centre. He later established his own outlet, Nishad Computer Centre, and leveraged technical knowledge of government portals to exploit vulnerabilities in the Aadhaar enrolment and update systems.

Telegram Link Led to Fake Aadhaar Infrastructure

Investigators revealed that in late 2024, Pramod collaborated with Aqeel Saifi via Telegram, obtaining forged digital portals and login credentials for birth and residence certificates. This infrastructure enabled rapid manipulation of Aadhaar records, facilitating large-scale identity fraud.

Fake Certificates in Minutes; Minors Targeted

Pramod allegedly admitted that forged certificates could be generated in 1–2 minutes, with both new Aadhaar cards and modifications to existing IDs executed seamlessly. The network included minors aged 0–18, magnifying the long-term risks of identity abuse. He also provided remote access via AnyDesk to associates, allowing simultaneous operations from multiple locations.

₹45,000 Per ID; 19,000 Records Compromised

Each manipulated Aadhaar ID was reportedly sold for ₹45,000, with ₹35,000 remitted to Saifi. According to confessions, 18,000–19,000 Aadhaar records were forged or altered, predominantly near the Nepal border, raising concerns about cross-border misuse.

Major Seizures and Expanding Probe

During the arrest, STF seized:

  • Laptops and desktops
  • Biometric fingerprint and retina scanners
  • Multiple mobile phones
  • ATM cards and cheque books
  • Other digital evidence

Officials confirmed forensic analysis of these devices will help trace beneficiaries, collaborators, and downstream misuse, including applications for bank accounts, SIM cards, passports, welfare benefits, and illegal border movement.

Serious National Security Implications

Senior STF officers warned that the case underscores how public service centres can be exploited for cyber-enabled identity crimes if oversight mechanisms fail. Misuse at this scale poses threats not only to financial integrity but also to citizenship, national security, and governance systems.

Further arrests are expected as the investigation continues.

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Anti-Corruption Bureau

Gujarat ACB Arrests CID Inspector, Constable In ₹30 Lakh Bribery Case

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A roadside trap near Gandhinagar led to the arrest of two law enforcement officers allegedly involved in a ₹30 lakh bribery scheme, highlighting concerns over corruption within police ranks.

A Trap on a Quiet Road

The Gujarat Anti-Corruption Bureau (ACB) set up the operation following a complaint from a party involved in an ongoing call-centre investigation. Constable Vipul Desai was caught red-handed while accepting the cash, with his superior, Inspector Petha Patel, arrested shortly thereafter. The exchange reportedly occurred near Swagat City Mall in Sargasan, a site linked to the Hari Group.

Officials stated that the officers allegedly demanded the bribe as a quid pro quo to avoid legal action against the complainant.

Allegations Against the Investigators

Both officers serve in the Gandhinagar-based CID Crime unit, typically responsible for sensitive and complex investigations. The ACB confirmed that procedural verification of the complaint preceded the trap, a standard method in corruption cases to establish demand and acceptance of illegal gratification.

Custody, Court, and Legal Proceedings

The arrested officers are scheduled to be produced in court, where the ACB will seek their remand for further interrogation. Investigators aim to uncover the precise method of solicitation, potential intermediaries, and whether similar bribe demands were made in prior cases.

Scrutiny Beyond the Cash Exchange

Authorities have indicated that the probe will extend to examining the officers’ assets and property, a step often used to determine whether the misconduct is isolated or part of a larger pattern of corruption. The ACB’s investigation may shed light on systemic vulnerabilities within enforcement agencies tasked with upholding the law.

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