income tax
On October 5, 2021, the Income Tax Department conducted search and seizure operations targeting two groups located in the North-East Region and West Bengal. The operations spanned 15 locations including Kolkata, Guwahati, Rangia, Shillong, and Patna.
The first group operates in the cement industry. Evidence collected during the search indicated that the group generated unaccounted income through unauthorized sales and falsified expenses. This unreported income was allegedly laundered back into their business utilizing shell companies. Investigations revealed that numerous paper companies associated with the group exist only on documents, lacking physical addresses or operational viability.
Key findings included:
Additionally, the group inaccurately classified tribal individuals as creditors, particularly involving around Rs. 38 crore. The search also uncovered details of offshore entities and bank accounts that were not disclosed in the income tax returns.
The second group focuses on railway contracts in Assam, Mizoram, and other regions of the North-East. In the course of the operations, the team seized incriminating documents, loose sheets, and digital evidence that pointed to undisclosed investments in land and properties. A significant number of sale deeds related to these assets were identified, potentially valuing over Rs. 110 crore.
Furthermore, the group could not produce corroborative evidence to justify the sources for acquiring these assets. Documentation evidencing cash transactions exceeding Rs. 13 crore from property sales was also discovered.
The search and seizure operations led to the identification of undisclosed income surpassing Rs. 250 crore. Authorities seized unaccounted cash amounting to more than Rs. 51 lakh, and nine bank lockers have been subjected to prohibitory orders and remain inaccessible for operations.