The team of Chandigarh Zonal Office of Enforcement Directorate (ED) has taken major action in the big VAT scam that came to light in Sirsa, Haryana. ED has attached a total of 37 immovable properties of Padam Bansal, Mahesh Bansal and their family members under the provisional attachment order issued on December 22, 2025. The total value of these properties is said to be around Rs 17.16 crore.
ED had started this investigation on the basis of several FIRs registered in Sirsa district of Haryana, in which it is alleged that some firms took VAT refund on the basis of fake C-Forms from the Excise and Taxation Department, Sirsa. Initial investigation revealed that this entire game was done by showing fake inter-state sales on paper.
ED investigation revealed that an entire syndicate was working under the leadership of Mahesh Bansal and Padam Bansal. The allegation is that they created fake firms in the name of poor and unknown people. Used their bank accounts and claimed VAT refund through these firms by submitting fake C-Forms. In this entire matter, the collusion of some officials of Excise and Taxation Department Sirsa has also come to light.
According to the investigating agency, due to this fraud, wrong VAT refund of about Rs 4.41 crore was taken, while the government suffered a total loss of about Rs 43.65 crore. This also includes outstanding tax, interest, penalty and wrongly taken ITC.
ED says that the money received in the name of VAT refund was later transferred to the accounts of private firms and expensive properties were purchased with the same money. This is the reason why now ED has attached 37 immovable properties worth Rs 17.16 crore, which are in the name of Padam Bansal, Mahesh Bansal and their family.
ED has made it clear that this investigation is not over yet. Apart from Sirsa, FIR related to VAT scam registered in other districts of Haryana is also being investigated. The agency’s focus is now on tracing the ill-gotten gains and identifying all the beneficiaries involved in this entire scam.
