Thu Oct 02 14:29:05 UTC 2025: **Summary:**

A large-scale Goods and Services Tax (GST) registration fraud, estimated at ₹1,100 crore, has been uncovered in Kerala, India. Fake GST registrations were created using stolen identification documents of numerous individuals without their knowledge. The fraud, which took place during the 2024-25 fiscal year, was initially detected by the GST Intelligence wing in Pune in February 2025. The Leader of Opposition accuses the State government of attempting to cover up the incident for eight months, failing to inform victims, not investigating the perpetrators, and depriving the state of ₹200 crore in GST revenues. Victims have been lodging complaints with the police and tax officials, but little action has been taken, with officials allegedly advising them to seek legal recourse in court. The opposition alleges that this involves data theft and calls for a thorough investigation into the thousands of fake GST registrations.

**News Article:**

**Kerala Government Accused of Cover-Up in ₹1,100 Crore GST Fraud**

**THIRUVANANTHAPURAM, October 2, 2025 (The Hindu)** – A massive Goods and Services Tax (GST) registration fraud, estimated at a staggering ₹1,100 crore, has rocked the state of Kerala. The scam involves the creation of fake GST registrations using stolen identification documents of countless individuals without their knowledge or consent.

Leader of Opposition V.D. Satheesan has launched a scathing attack on the Pinarayi Vijayan-led State government, accusing it of a deliberate cover-up and inaction in the face of the widespread fraud. Satheesan alleges that the government failed to inform the victims for eight months, did not launch a proper investigation into the perpetrators, and failed to protect those affected. He claims the fraud has also deprived the state of a significant ₹200 crore in GST revenues.

The fraud, perpetrated during the 2024-25 fiscal year, was initially uncovered by the GST Intelligence wing in Pune as early as February 2025, who alerted the Kerala government. Despite this, the opposition claims that the state government’s actions were limited to cancelling the fraudulent registrations.

Victims are reporting that transactions worth crores of rupees have been carried out under their names without their knowledge. Several individuals have filed complaints with the police in districts like Ernakulam and Kottayam, and have approached GST and Income Tax officials, but have seen little to no action taken. Instead, some are being advised to take the matter to court, prompting accusations that the government is failing to provide legal protection to its citizens.

“That cases have been registered is not an adequate reply. There has been no probe into the thousands of fake GST registrations that have taken place,” Satheesan stated, raising serious concerns about potential data theft in addition to tax fraud.

Chief Minister Pinarayi Vijayan acknowledged in the State Legislative Assembly that the police have received seven complaints related to fake GST registrations and have launched an investigation. However, the Leader of the Opposition argues that the scale of the problem demands a more urgent and comprehensive response, and vows to keep the pressure on the government to take meaningful action. The situation continues to develop as investigations unfold and more victims come forward.

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