Shah Batteries Director Arrested Over Major ₹98.47 Crore GST Fraud Scheme
The director of Shah Batteries, T.A. Aamir Hasan, has been arrested for a ₹98.47 crore GST fraud. He allegedly used 17 shell firms to claim illegal input tax credits. Separately, police are investigating two tragic drowning incidents involving children in Kanchanbagh and Alwal.
Highlights
- •T.A. Aamir Hasan, director of Shah Batteries, arrested for a ₹98.47 crore GST fraud.
- •The accused allegedly operated 17 bogus firms to claim fraudulent input tax credits.
- •Shah Batteries reported ₹571 crore turnover but paid only ₹45.42 lakh in taxes.
- •Authorities are also investigating two separate tragic drowning deaths involving young children in local areas.
In a significant crackdown on financial malpractice, the commercial taxes department has taken into custody T.A. Aamir Hasan, the director of Shah Batteries. This arrest follows serious allegations involving a fraudulent GST fraud scheme where the company reportedly claimed invalid input tax credit (ITC) totaling approximately ₹98.47 crore.
According to investigative findings, the accused allegedly orchestrated a network of 17 shell firms through various associates to facilitate this illegal tax evasion. Authorities observed that the monthly Goods and Services Tax (GST) filings for all these entities were processed from a single computer, highlighting a calculated and coordinated effort to manipulate the tax regime for unlawful financial gain. The department noted that these firms would pass on the fake ITC to Shah Batteries before voluntarily closing their registrations.
Details of the GST Fraud Allegations
Records indicate that between April 2025 and April 2026, Shah Batteries declared a turnover approaching ₹571 crore. Despite this substantial business activity, the company paid a mere ₹45.42 lakh in taxes, relying heavily on the disputed ITC worth ₹98.47 crore to offset its liabilities. Officials underscored that such fraudulent invoicing practices have caused substantial revenue losses for the government exchequer. Prior to the arrest, the director was reportedly given a two-month window to rectify the discrepancies and compensate for the lost revenue, which he failed to do.
Following legal protocols under the Telangana GST Act, 2017, Hasan was apprehended and subsequently remanded to judicial custody by a competent court. Law enforcement agencies have emphasized that this is part of a broader, ongoing investigation into fake billing and trade fraud within the industry. Authorities remain committed to pursuing strict action against all individuals involved in these illicit activities.
Tragic Incidents Involving Minors
In unrelated tragic developments, local authorities are investigating two separate fatal incidents. In Kanchanbagh, a 16-month-old girl lost her life after accidentally drowning in a bucket of water at her residence. Despite being rushed to Niloufer Hospital for emergency care, the child could not be saved. Additionally, in Alwal, an eight-year-old student, Nitesh, drowned in a 40-foot deep well. The boy had attempted to swim with friends while failing to attend school on its reopening day. Emergency teams, including the Disaster Response Force (DRF) and local police, conducted an extensive search operation before recovering his body. Both incidents are currently under police investigation.
