Kingpin arrested along with his brother in Rs 27.10 crores GST scam in Mumbai

MUMBAI: The Directorate General of GST Intelligence (DGGI), Mumbai Zonal Unit, has busted a major racket of benami and shell companies engaged in fake invoicing, leading to GST evasion worth ₹27.10 crore. The agency has arrested the kingpin, Jahir Abbas Patel, along with his brother Akram Patel. Both were produced before the court and remanded to magistrates custody.Acting on data analytics, human intelligence, and advanced investigation tools, DGGI officers conducted searches at multiple locations in Mumbai and examined statements and bank records of those involved. The probe revealed that the Patel brothers were running several fraudulent companies floated in the names of various individuals using their KYC documents.

According to investigators, the duo issued fake invoices without the actual supply of goods or services, creating a fraudulent turnover of ₹141.30 crore and have evaded GST tune to Rs 27.10 crores. The funds of these shell entities were actively operated and rotated by the brothers to conceal the fraud and avail inadmissible tax credits.“Jahir Abbas Patel and Akram Patel are the masterminds behind the racket. They not only created multiple shell companies but also managed their financial operations through fake invoicing to generate massive fraudulent credits,” a senior DGGI officer said.

Both accused were placed under arrest for offences under the Central Goods and Services Tax (CGST) Act and produced before a magistrate. They have been remanded to judicial custody.The DGGI has said further investigation is underway to identify other individuals and entities linked to the racket.