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GST Clamps Down On Paper Companies In Vindhya: Fake ITC Racket Busted In The Name Of Coal Billing

K
Kunal Mehta
Contributor
February 7, 2026

GST department raid (symbolic picture)

Digital Desk, Jabalpur. The Central Goods and Services Tax (GST) Commissionerate, Jabalpur has busted a big racket involved in tax evasion and passing of fake Input Tax Credit (ITC). Under the leadership and direction of Central GST Commissioner Lokesh Lilhare, the anti evasion team simultaneously raided nine locations in Sidhi, Satna and Katni districts.

action based on intelligence input

The department had received solid intelligence that many firms in these districts were registered only on paper. These are being used to unfairly avail ITC and cause loss to government revenue through fake billing of coal.

Shocking revelation in the raid

The investigation revealed that out of the nine firms examined, eight were found to be completely non-operational at their registered addresses. No existence of these firms was found on the spot, which made it clear that they were formed only for the purpose of tax evasion and fraud.

Also read- Jabalpur: 3.5 crore scam in SAF: ASI and constable suspended, role of 11 soldiers under investigation

Revenue loss is issued

The department is now thoroughly examining the bills issued and ITC passed by these firms, so that the actual revenue loss can be accurately assessed. Commissioner Lokesh Lilhare has clarified that strict action will continue against the elements involved in tax evasion and fraudulent transactions.

Action taken against these firms

This action of the GST department is being seen as a big and decisive initiative against tax evasion.

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