The raids began on February 18 and were carried out in 22 locations (Representational)
Reflexes
- Raids were carried out on businesses owned by the MLA Nilay Daga family of Congress
- The raids had been carried out since February 18 at 22 locations.
- The raids uncovered unaccounted for cash stores of Rs 8 crore
Bhopal:
More than 450 crore in undisclosed income was recovered from raids on business premises owned by the Madhya Pradesh Congressional family of MLA Nilay Daga, the Income Tax Department said on Monday night. The raids had been carried out since February 18 at 22 locations in the state’s Betul and Satna districts, as well as in Mumbai and Kolkata.
The raids uncovered 8 million rupee unaccounted for cash stores, unexplained foreign currency worth 44 lakh rupees and information on nine bank lockers.
The raids also revealed messages between key members of the business group, which makes soy products, reflecting inexplicable cash payments and hawala transactions totaling more than 15 million rupees.
“The group brought in unaccounted income to the tune of Rs 259 million by introducing equity capital with a huge premium from Calcutta-based shell companies … it introduced undisclosed revenue of Rs 90 million by selling investments on paper in shell companies to another group of Kolkata shell companies, “said the CBDT (Central Board of Direct Tax) in its statement.
“None of these companies were found to be operational at the given address and the group was unable to confirm the identity of such paper companies or any of their directors. Many of these paper companies were found to have been removed by the Ministry of Corporate Affairs “he added. added the CBDT.
The CBDT said the group claimed another Rs 52 million of “false losses” to offset its gains “by allowing the liquidation of off-exchange contracts within the group.
“The group also claimed an incorrect exemption from long-term capital gains of more than Rs 27 million on the sale of shares of a group entity. Investigations revealed that the purchase of these shares was not genuine, as the Group directors purchased shares in this entity at par value from non-existent Kolkata-based shell companies, “the statement said.
During the raids, incriminating evidence in the form of laptops and hard drives was seized.
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