A Bengaluru court has sent Dilip BR to ED custody for seven days following his arrest in connection with a multi-layered fraud scheme. Dilip, who allegedly used fake identities to carry out fraudulent activities, managed to secure at least three PAN cards under the names Dilip BR, Dilip Rajegowda, and Dilip Balaganchi Rajegowda.
According to an ED release, Dilip used forged documents to open multiple bank accounts and then obtained vehicle loans using false information. One of his primary tactics involved manipulating income tax returns to claim non-genuine refunds, exploiting vulnerabilities in the Kaveri and Jamabandi portals of the Karnataka and Haryana state governments. Through these methods, he obtained data on non-resident taxpayers who had sold property in India and faced significant TDS deductions.
Once the accounts were active, Dilip allegedly accessed the Income Tax Department’s e-filing portal, revising income tax returns to reduce his tax liabilities and inflate refund amounts. These fraudulent refunds were then transferred to accounts he controlled, allowing him to launder the proceeds.
Preliminary investigations by the Enforcement Directorate (ED) suggest that Dilip’s fraudulent activities generated over Rs10 crore. The illicit funds were then laundered into gold, jewelry, cash, and cryptocurrency investments, making it difficult to trace the flow of money.