Hyderabad: In a significant enforcement action, the Telangana State Commercial Taxes Department has unearthed a major and unprecedented tax fraud involving Keshaan Industries LLP, a Hyderabad-based private firm.
Acting on credible intelligence, officials conducted coordinated inspections at the company’s corporate office located on SP Road, Hyderabad; a godown at Bansilalpet, Secunderabad; and its factory units in Kalakal Automotive Park and Muppireddypally villages in Medak district.
The company has allegedly generated high-value tax invoices for the supply of copper materials without any corresponding movement of goods.
As per the preliminary findings, empty vehicles were dispatched from Telangana to Maharashtra, while documentation falsely indicated the transportation of substantial consignments. The total value of these fraudulent invoices is suspected to exceed Rs 100 crore.
Vehicle movement data brought fraud to light
The fraud came to light after an analysis of vehicle movement data, including toll gate records obtained from the National Highway Authority of India (NHAI). These records indicated that numerous vehicles passed through key toll points without carrying any goods, contradicting the e-way bills. Field intelligence further confirmed that invoices worth over Rs 100 crore may have been issued without actual supplies.
This sophisticated form of tax evasion, raising invoices without actual supply of good,s is the first-of-its-kind to be detected in Telangana. It represents a dangerous new trend in Goods and Services Tax (GST) related fraud. The company fraudulently availed of Input Tax Credit (ITC) of approximately Rs 33.20 crore through such bogus transactions, thereby reducing its output tax liability.
As part of the enforcement measures, officials seized crucial documents including the books of accounts, registers, hard disks, and CCTV footage during the inspections.
A formal complaint has been lodged with the Deputy Commissioner of Police (DCP), Central Crime Station (CCS), Hyderabad, with a request to register a criminal case against the company’s directors, Vikash Kumar Keeshan and Rajneesh Keeshan.
Investigations were underway to determine whether similar methods were being adopted by other business entities.
Another case in Charminar division
In a related development, another case was detected by DSTO Majid Hussain of Mehdipatnam 1 circle, Charminar division, involving vehicle number AP29TA7213, which was found to have remained immobile since June 2025.
However, multiple e-way bills were generated using the vehicle’s registration number, allegedly by various taxpayers, without actual goods movement. This act constitutes a violation of the Central Goods and Services Tax (CGST) Act, 2017, and is suspected to involve criminal intent under Sections 318 and 336 of the Bharatiya Nyaya Sanhita (BNS). A separate complaint has been filed to initiate a First Information Report (FIR) against the vehicle owner.
Commissioner of Commercial Taxes K Haritha said that her department has been making all efforts to curb all types of illegal practices intended to evade the legitimate taxes due to the government.
