Ahmedabad-based journalist Mahesh Langa, known for his work as The Hindu’s Gujarat correspondent, has been implicated by the Enforcement Directorate (ED) in a multi-crore Central Goods and Services Tax (CGST) fraud. According to the ED, Langa played a pivotal role in orchestrating a network of approximately 200 shell companies used to fraudulently claim input tax credits (ITC) without any legitimate exchange of goods or services, according to a report by The Times of India.
Background on Mahesh Langa and Role Alleged by ED
Mahesh Langa, who covered Gujarat for The Hindu, is now facing serious allegations involving blackmail, manipulation, and illicit financial activities. Authorities allege that Langa used his journalistic position to engage in settlements and financial dealings that earned him large sums, which were unaccounted for in official records. Langa’s name had previously surfaced in connection with a case involving leaked government documents, for which an FIR was filed in Gandhinagar.
During a recent search of Langa’s residence, the Ahmedabad Crime Branch reportedly uncovered Rs 20 lakh in cash, along with luxury jewelry and property documents. These findings have raised suspicions, as Langa’s declared income in his last income tax filing (2022-2023) was approximately Rs 9.48 lakh, with his wife’s income around Rs 6.04 lakh, totaling around Rs 15.5 lakh annually. Authorities are questioning how Langa managed to accumulate such assets given his reported income.
Allegations of Fake Company Networks and Fraudulent Transactions
Central to the investigation are shell companies allegedly under Langa’s control, one of which, Dhruvi Enterprises, was reportedly established with fake documents to secure GST registration. According to the ED, this shell company issued fraudulent invoices to 12 other entities, including DA Enterprises, which then falsely claimed ITC from the GST department. The ED believes that Langa oversaw DA Enterprises, from which substantial unaccounted cash was seized. Authorities suspect further benami transactions connected to these shell entities.
Widespread ED Operations in Gujarat
The ED has carried out extensive searches across Langa’s premises and those of his associates in Gujarat, focusing on Ahmedabad, Surat, and Bhavnagar. During these searches, the agency reportedly seized incriminating documents linked to shell companies involved in falsified ITC claims.
Earlier, the ED searched 23 locations across Gujarat linked to these shell companies to unravel what it describes as a large-scale conspiracy. “During the investigation, enquiries were made from statutory authorities, and various statements were recorded under PMLA, which could not establish the authenticity of these transactions,” the ED reported, highlighting the suspicious nature of the network.
Police Commissioner’s Statement on the Alleged Fraud Network
Ahmedabad Police Commissioner G.S. Malik publicly confirmed Langa’s involvement, identifying him as the operator of DA Enterprises, a shell company allegedly set up to funnel money through fake transactions. Commissioner Malik stated that DA Enterprises saw a turnover increase from Rs 21 lakh in 2020-21 to Rs 6.7 crore in 2022-23. Malik added, “Money was transferred to Dhruvi Enterprises, then withdrawn as cash and routed back to Mahesh through hawala networks.”
Malik clarified that Langa’s cousin and wife were found uninvolved in the operations. “We have not shown any vindictiveness in the case,” he emphasized, suggesting that the investigation was objective.
Income Tax Department Probes Financial Discrepancies
Authorities also flagged Langa’s apparent luxurious lifestyle, which seemed disproportionate to his reported annual income. A search at Langa’s residence reportedly uncovered Rs 20 lakh in unaccounted cash. The Crime Branch reported his high-end expenses and international travels to the Income Tax Department, which will conduct a further investigation to determine any discrepancies.
A statement from city police suggested that Langa had shifted funds from DA Enterprises to Nisarg Enterprises, a company managed by his brother Manhar, a government school teacher, and Manhar’s wife. Police believe that Nisarg Enterprises engaged in suspicious transactions involving several lakhs, adding another layer to the unfolding investigation.
Ongoing Investigation into Multi-Crore Fraud
The ED, along with other investigative bodies, continues to probe Langa’s alleged involvement in CGST fraud and money laundering. This case is part of a broader crackdown on tax-related fraud in Gujarat, as authorities work to dismantle complex networks of shell companies and uncover potentially hidden assets. The investigation is ongoing, with Langa’s role at the center of a scandal that has captured national attention.
