In a major crackdown on tax fraud, the Maharashtra State Tax Department arrested Santosh Vitthal Londhe, 44, from Vikhroli for his alleged role in a Rs10.03 crore fake GST input tax credit scam. Londhe was the authorised signatory of a bogus firm named M S Santosh Enterprises, which claimed to trade in cement and steel products.
The firm was registered at Shanti Shopping Centre, Mira Road, but when investigators visited the site, they found no business operations or evidence of commercial activity. The premises appeared non-operational, confirming suspicions of fraud.
Between December 2024 and May 2025, the firm showed an outward tax liability of Rs10.03 crore, yet no e-way bills were generated — a mandatory requirement for transporting high-value goods under the GST system. The absence of e-way bills suggested that no goods were actually supplied, and the transactions existed only on paper.
Authorities believe Londhe created the fake firm to issue bogus invoices, using them to illegally claim input tax credit (ITC). These fraudulent credits may also have been passed on to other firms, helping them evade tax liabilities.
Londhe was arrested after a thorough investigation and charged under the Central Goods and Services Tax Act, 2017. As per the law, evasion above Rs5 crore is a non-bailable offence, punishable by up to five years in prison.
The case remains open, and investigators are now tracing other beneficiaries of the scam. More arrests are expected as the probe deepens.
