GST Fraud Scandal: Gujarat Journalist Mahesh Langa faces third charge of cheating under probe of lavish lifestyle

Journalist Mahesh Langa who had already been charged twice in criminal courts now stands accused of the third offence of cheating with GST fraud. The complaint has come from Pranav Shah, owner of an advertisement company, accusing Langa of cheating him of around ₹28.68 lakh in Ahmedabad. Shah alleges Langa misrepresented himself as a well-connected media influencer with advertising benefits for his company, but Langa was unable to make good on his promises and refused reimbursement for a party he had hosted in September.

This is part of the continuing probe into Langa's operations, which lawmen say are financially elaborate and use a web of shell companies and fake claims of Goods and Services Tax. Langa allegedly tried to present himself as having the life of luxury as evidenced by expensive accommodations and private flights, among his expensive spending sprees - on the face of paltry official earnings. Reports say this was enough of a red flag to prompt greater investigation by the Income Tax Department into his financial activity.

The probe in Langa's network detected a complicated structure of shell companies connected with each other, such as DA Enterprises, which in a relatively short period, that is, in a few years' time, expanded from its small turnover into a meaningful amount. According to the investigators, DA Enterprises owned by Langa and his wife inflated the costs based on fictitious invoices created and then transferred funds to other shell companies called Dhruvi Enterprises.

Also read: UP Police Constable Result 2024: The Final Reveal?

Authorities conducted mass searches across Gujarat and revealed connections to about 220 shell companies suspected of being the creation of Langa's cousin, brother, or other associates. The associates allegedly helped Langa move money back into his coffers, avoiding GST, and investigators found ₹20 lakh in unaccounted cash at Langa's residence, which was much higher than the reported income by his family.

The unfolding case has already set off a debate in the journalism community, with Hindu Publishing Group director N. Ram defending the right of journalists to access confidential documents for public interest reporting. "Ram said criminalizing such activities could stifle investigative journalism.".

As the case unfolds, Gujarat Police will join forces with GST intelligence and income tax authorities in a quest to unravel all the alleged financial misdeeds that can be traced to Langa's network. The case does highlight an even larger issue of a debate over journalistic freedoms and the limits imposed on journalistic practices, putting into question the consequences it may hold for media integrity in India.