Punjab: 60 firms under lens for ₹950-crore GST scam, police investigation on
Ludhiana-based businessman writes to top police officials, seeks thorough probe, provides more proof of “fake” transactions and copies of 70 cheques related to the fraud
The Mandi Gobindgarh police in Fatehgarh Sahib have been investigating a multi-crore GST scam, allegedly involving over 60 fictitious companies. The FIR was registered recently on the complaint of a Ludhiana-based businessman, who said that he has now submitted more proof of “fake” transactions and copies of 70 cheques in the “ ₹950-crore scam”. In his complaint to the DGP, Bureau of Investigation and senior Fatehgarh Sahib police authorities, Kashmir Giri of Khanna has sought a thorough and impartial investigation.
Claiming that more than 60 firms were involved in the scam, he alleged collusion between private individuals and government officials. After the registration of the FIR on June 11, the police had formed a special investigation team (SIT).
According to Giri, the FIR concerns forged sale and lease deeds executed using the names of his sons through fake firms. He alleged that the key conspirators created shell companies using fake IDs, dummy directors and even forged rent agreements and lease deeds — all without his family’s knowledge.
He said officials must inquire the origin of the funds used to buy high-value stamp papers and also the role of sub-registrars and others who facilitated such transactions. “A sale deed dated August 11, 2022, shows a transaction worth over ₹1.97 crore and claimed to have been paid through cheques. But such cheques were never issued or encashed. The beneficiary firm is non-functional. A CGST inspection report dated September 30, 2024, verified this, but no further action was taken by authorities,” he mentioned.
He further alleged that officials from several private banks helped open accounts for such bogus firms without proper verification. The complaint referenced a high court order dated April 23, directing the Punjab DGP to act on Giri’s earlier representation. Besides seeking a thorough probe, he has sought safety of his family.
The Mandi Gobindgarh police has slapped Sections 419, 420, 467, 468, 471 and 120-B of the IPC. One of the SIT members, seeking anonymity, said an investigation was being conducted. “Huge suspicious transactions were found during the investigation,” he added.
