Tag Archives: raids

Income Tax Department targets It SEZ developer, prominent stainless-steel supplier; conducts raids in Tamil Nadu

Newsroom24x7 Network

New Delhi/Chennai: The Income Tax Department conducted searches on Friday 27 November 2020 in the case of an IT SEZ developer, its ex-Director and a prominent stainless-steel supplier in Chennai. The search operation was carried out at 16 premises located in Chennai, Mumbai, Hyderabad and Cuddalore.

The evidences unearthed include unaccounted assets worth about Rs. 100 crore accumulated by the ex-Director and his family members in the past 3 years. The search further unearthed that the IT SEZ developer claimed bogus work-in-progress expenses of about Rs. 160 crore in an under-construction project. The entity had also claimed capital expenses of around Rs. 30 crore on account of bogus consultancy fees in an operational project and inadmissible interest expenses to the extent of Rs. 20 crore was also claimed by the entity.

The search further revealed certain share purchase transactions relating to the IT SEZ developer. The shares of this entity were sold by its erstwhile shareholders, a resident and a non-resident entity, which routed its investment through a Mauritius intermediary, for about Rs. 2300 crore in FY 2017-18 but capital gains out of this sale transaction were not disclosed to the department.

Investigation is in progress to determine the undisclosed capital gains in the hands of both the shareholders. Other land transactions involving cash payments and an issue relating to Compulsory Convertible Debentures are also under examination

The evidences found in the premises of the Stainless-steel supplier revealed that the supplier group has been conducting three sets of sales: accounted; unaccounted and partly-accounted. The unaccounted and partly-accounted sales amount to more than 25% of the total sales each year. Further, the assessee group has provided sales accommodation bills to various customers and received commission of more than 10% on these transactions. While the quantification of unaccounted income is being carried out currently, it is estimated to be around Rs. 100 crore. The related concerns of the assessee group are involved in financing, money lending and real estate development. The unaccounted transactions conducted by these entities and the unaccounted capital/loan infusion in these entities are estimated to be around Rs.50 crore.

The searches, so far, have resulted in the detection of undisclosed income of more than Rs. 450 crore.

IT raids across many States to smash the racket of generation of huge cash through fake billing

Newsroom24x7 Network

New Delhi: The Income tax Department has carried out a search and seizure action on Monday 26 October 2020 on a large network of individuals running the racket of entry operation and generation of huge cash through fake billing. The search operations have been conducted on 42 premises across Delhi- NCR, Haryana, Punjab, Uttarakhand and Goa.

The search has led to seizure of evidences exposing the entire network of the entry operators, intermediaries, cash handlers, the beneficiaries and the firms and companies involved. So far, documents evidencing accommodation entries of more than Rs. 500 crore have already been found and seized.

Several shell entities/firms were used by the searched entry operators for layering of unaccounted money and cash withdrawals against fake bills issued and unsecured loans given. The personal staff/employees/associates had been made dummy directors/partners of these shell entities and all bank accounts were managed and controlled by these entry operators. Statements of such entry operators, their dummy partners/employees, the cash handlers as well as the covered beneficiaries have also been recorded clearly validating the entire money trail.

 The searched persons were also found to be controller and beneficial owners of several bank accounts and lockers, opened in names of their family members and trusted employees and shell entities, which they were managing in collusion with the bank officials, through the digital media. The same are being further investigated.

 The beneficiaries have been found to have made huge investments in real estate properties in prime cities and in fixed deposits to the tune of several hundred crores of rupees.

 During the search, cash of Rs. 2.37 crore and jewellery worth Rs. 2.89 crore has been found along with 17 bank lockers, which are yet to be operated.

Further investigations are in progress.

CBI books Ratul Puri, Moser Baer in Rs. 7.87 billion bank fraud case

Newsroom24x7 Network

The Central Bureau of Investigation has registered a case and conducted raids on Friday 26 June at the premises of Delhi based Moser Baer Solar Limited and others including its Directors Dipak Puri and Ratul Puri, guarantors, other unknown persons & bank officials in a Rs.787.25 cr. (Rs 7870 million or 7.87 billion) bank fraud case linked to Punjab National Bank and other consortium of banks.

It is alleged that those accused in this scam had cheated the Punjab National Bank led consortium comprising PNB (lead bank), SBI, Exim Bank, Indian Overseas Bank, Central Bank of India, Union Bank of India, and Bank of Baroda to the tune of Rs.787.25 crore (approx) by way of diversion of bank funds, sham transactions and inflated security deposits.

Search and seizure operations have been conducted on Friday at seven locations in Delhi, Noida, Ghaziabad & Annupur (Madhya Pradesh) at the premises of the accused including the Directors and the Moser Baer Solar Limited which led to recovery of several incriminating documents and digital evidences. The investigation is continuing.

Enforcement Directorate
The Enforcement Directorate (ED) had earlier arrested Ratul Puri, the nephew of former Madhya Pradesh Chief Minister Kamal Nath on 19 August 2019.
He was later granted bail by a trial court in Delhi. Charge against him: receiving kickbaks in the Agusta Westland VVIP chopper scam.

CBI tightens noose in alleged illegal sand mining cases related to Uttar Pradesh

Newsroom24x7 Network

New Delhi: CBI conducts searches at 12 locations in 8 cities/districts of Uttar Pradesh in alleged illegal sand mining cases; huge cash recovered

The Central Bureau of Investigation has registered two separate cases related to alleged illegal sand mining in Uttar Pradesh and conducted searches at 12 locations in 8 cities/districts of Uttar Pradesh.

One case has been registered under Section 120-B read with 379 & 420 of Indian Penal Code (IPC) and under Section 13(2) read with 13(1)(d) of Prevention of Corruption Act, 2018 against a former District Magistrate, Fatehpur (Uttar Pradesh) and six others including the then Uttar Pradesh Mining Minister; three public servants of UP Government; two private persons and unknown public servants and other unknown persons.

Earlier a Preliminary Enquiry was registered on the orders of Allahabad High Court in PIL No. 22482/2016 and PIL No. 29115/2016. It was alleged that the then District Magistrate, Fatehpur, the then Mining Minister of U.P. Govt and other public servants entered into a conspiracy with private persons and renewed 3 sand mining leases in favour of two private persons, both residents of Fatehpur (U.P.). It was further alleged that the then DM, Fatehpur fraudulently executed deeds in compliance of illegal orders of renewal of 3 sand mining leases in favour of the said private persons. These sand mining leases were allegedly renewed in violation of orders of U.P. Govt wherein it was clearly directed that all such leases should be granted through e-tendering process.

The other case has been registered under Section 120-B read with 379, 403, 420, 467 & 468 of IPC and Under Section 13(2) read with 13(1)(d) of Prevention of Corruption Act against the then District Magistrate, Deoria (Uttar Pradesh) and eight others including the then Additional District Magistrate, Deoria (U.P.); three public servants; four private persons and other unknown public servants & private persons.

Earlier a Preliminary Enquiry was registered on the orders of Allahabad High Court in PIL No. 22482/2016 and PIL No. 29115/2016. It was alleged that the then District Magistrate, Deoria (UP) alongwith other officials of his office and private persons entered into conspiracy and fraudulently approved renewal of 02 sand mining leases in favour of two private persons, both residents of Deoria. It was further alleged that the then Mining Inspector, Deoria abused his official position and misappropriated MM-11 forms meant for transportation of minor minerals. These sand mining leases were allegedly renewed in violation of orders of U.P. Govt wherein it was clearly directed that all such leases should be granted through e-tendering process.

Searches were conducted today at 12 locations including Bulandshahar, Lucknow, Fatehpur, Azamgarh, Allahabad, Noida, Gorakhpur, Deoria etc in two separate cases. Cash of around Rs.49 lakh was recovered from the premises of then DM, Fatehpur (presently posted as DM, Bulandshehar ); cash of around Rs. 10 lakh was also recovered from the premises of then ADM, Deoria ( presently posted as CDO, Azamgarh ) and some documents related to properties from the premises of the then DM, Deoria ( presently posted as Director, Training & Employment, Lucknow) were also recovered.

Madhvi Abhay Singh, wife of District Magistrate Abhay Singh has posted a rejoinder/clarification on facebook stating that the CBi has registered a case against her husband on without basis. Click here for the clarification