In a significant crackdown on financial fraud, the Sitapur police in Uttar Pradesh have dismantled a sophisticated inter-district gang accused of orchestrating a multi-crore Goods and Services Tax (GST) evasion scam. The operation, conducted on Friday, led to the arrest of seven individuals and the seizure of a substantial amount of cash, digital equipment, and forged documents used to create dozens of bogus companies.
Major Raid Nets Cash, Devices, and Forged Documents
Acting on specific directives from Director General of Police (DGP) Rajeev Krishna, a joint team from the Khairabad police station and the Special Operations Group (SOG) carried out the operation. The team, operating under the supervision of Sitapur Superintendent of Police (SP) Ankur Agarwal, apprehended the accused near Asothar village.
The police recovered a trove of evidence pointing to the gang's extensive operations. The haul included Rs 8 lakh in cash, five laptops, 37 mobile phones, and a staggering 80 SIM cards. Furthermore, authorities seized 37 ATM cards, 39 stamps, 18 bill books, 10 PAN cards, 57 cheque books, and 10 bank passbooks. The evidence also comprised 135 cheques from various banks, nine digital signature USB devices, two hard disks, 651 GST bills and tax invoices from different firms, along with two cars used by the accused.
Modus Operandi: Targeting the Vulnerable
According to SP Ankur Agarwal, the gang operated as a highly organised network with a calculated strategy. Their primary targets were poor and semi-literate individuals. The accused allegedly lured these vulnerable people with false promises of profits from various government schemes.
Once they gained the victims' trust, the gang members collected their identity documents and cash. Using these personal details, the fraudsters then created between 60 to 70 fake firms and opened bank accounts in the names of these individuals. To give the companies a veneer of legitimacy, the gang showed fictitious transactions related to the timber trade. This elaborate facade was used to generate fake GST bills and fraudulently claim input tax credits, causing massive losses to the government exchequer.
Legal Action and Ongoing Investigation
The seven arrested individuals have been identified as Mohammad Asif, Anwarul Haq, Mohammad Ammar, Uzair, Abdul Nasir, Zeeshan, and Mohammad Arif. They are residents of Sitapur and Kanpur districts.
The police have registered a case against the accused under the relevant sections of the Bharatiya Nyaya Sanhita (BNS) at Khairabad police station, bearing case number 15/26. All the arrested persons are being produced before a court as the investigation continues to uncover the full extent of the GST fraud network and its financial impact.
This bust highlights the ongoing efforts by Uttar Pradesh police to clamp down on organised financial crimes that exploit systemic loopholes and vulnerable citizens to defraud the national treasury.
