A PIL in SC demands stricter GST checks after PAN, Aadhaar misuse in fake firm frauds causing losses of over ₹24,000 crore.
Supreme Court petition filed seeking tighter GST verification to prevent Aadhaar and PAN misuse in fake firm frauds.
NEW DELHI: A Public Interest Litigation (PIL) has been filed in the Supreme Court demanding stricter checks in the GST registration process to combat fraud using stolen Aadhaar and PAN details.
The petition has been filed by Supreme Court advocate Rudra Vikram Singh, highlighting how identity theft is being used to register fake firms and issue fraudulent GST invoices, causing massive losses to the national exchequer.
Singh, who claims to be a victim, revealed that his PAN card and digital signature were misused to register a bogus company name in Ballari, Karnataka.
The fake firm was granted a GST number through the auto-approval system, without any document verification by officials. It later issued fake invoices worth over Rs 37 lakh.
The petition cites government and parliamentary data to show the alarming scale of GST fraud:
Additional scams were uncovered in 2024 and 2025 across multiple states, the plea alleges.
The petition seeks mandatory Aadhaar-based e-KYC for GST registration, enhanced data protection for Aadhaar and PAN, creation of an independent monitoring body, and transfer of serious cases to the CBI or other independent agencies for investigation.
Ved Jain, a tax law expert, told iTV Network that GST frauds often begin with stolen PAN and Aadhaar details submitted to various regulators and agencies during routine verifications.
