An inter-state fake GST and e-billing racket worth crores of rupees was busted in Jammu and Kashmir on Saturday, an official said.

A spokesman of the Jammu and Kashmir Sales Tax Department said that a team of its officials detained a vehicle carrying goods worth Rs 40 lakh on Saturday and an online verification of the GST and e-billing documents it was carrying showed that these were fake.

"The racket has been operating since April 2018. It is involved in issuance of fake GST documents and fake e-bills," the spokesman said.

The racket operators were identified as Mahima Enterprises, Mahima Garments and A.R. Electricals, all owned by Rajeev Bhatia of Delhi, and the scam was running in connivance with fake GST number holders in the name of P.K. Traders, Santosh Traders, Ravish Traders, Khan Enterprises and Mahima Trade Mart, he added.

The Sales Tax Department has taken up the matter with the Principal Director General, Central Excise Intelligence for further investigations.

According to the spokesman, these racket operators have traded in goods worth Rs 15 crore in J&K alone since April last year and it is "quite likely that they are operating a similar racket in other states as well".

--IANS

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