TN: Two men arrested for passing fake GST invoices

Business Oct 14, 2025

Two men from Chennai, including the owner of M/s MKN Enterprises, have been arrested for fraudulently passing on Input Tax Credit (ITC) worth ₹10.64 crore using fake GST invoices.
They allegedly created bogus invoices to claim tax credits without actually selling any goods, in violation of GST laws.

Over 90 companies linked to racket

Investigators spotted the fraud through careful data analysis, uncovering fake invoices totaling ₹59 crore.
Over 90 companies in Chennai are linked to this racket, and so far authorities have recovered ₹42 lakh.
Both accused are now in 14 days' judicial custody as officials continue tracking down others involved and working to recover more of the lost tax money.