The Income Tax Department has seized unaccounted cash to the tune of Rs 56 crore as well as bullion and jewellery worth Rs 14 crore in a search and seizure operation on on two major groups in Maharashtra engaged in the manufacturing of steel TMT Bars used in construction projects, according to an official statement issued today.
The search operation carried out on carried out a search operation on August 3 covered more than 30 premises spread over Jalna, Aurangabad, Nashik and Mumbai, the Income Tax Department said.
During the course of the search operation a lot of incriminating evidence has been found and seized.
The initial analysis of seized evidence of both the groups has revealed that they were engaged in large scale tax evasion, resorting to inflation of expenditure through bogus purchases from several entities. These entities have also been found to be involved in GST frauds. Evidence has also been found of excess stock of raw materials, not recorded in the books of account, exceeding Rs. 120 crore, the official statement revealed.
Examination of evidence in one of the groups further reveals that it has indulged in layering its unaccounted income through bogus unsecured loans and share premium, obtained from Kolkata-based shell companies.
The search team has also detected a large number of lockers of both the groups, opened in the names of employees of the companies, which were maintained with a Co-operative Bank. During the search operation, more than 30 bank lockers, including several lockers in the Co-operative Bank, were searched. Huge unaccounted cash and gold jewellery has been found and seized from these lockers.
Furthermore, a large amount of unaccounted cash has been seized from a secret room located on the farm house belonging to one of the groups.
Further investigations are still in progress.