Income Tax Department conducts searches on a prominent Transmission Tower manufacturing group in West Bengal
By PIB Delhi
The Income Tax Department carried out a search and seizure operation on 24.08.2022 on a prominent Kolkata-based group, engaged in manufacturing of Power Transmission & Distribution (T&D) Structures, Steel Structures, Steel ERW Pipes and Polymer products, etc. The search action covered 28 premises spread over West Bengal and Jharkhand.
During the course of the search operation, various methods of tax evasion adopted by the group were unearthed. A large number of incriminating evidence in the form of documents and digital data demonstrating the booking of bogus expenditure and undisclosed cash sales has been found. Moreover, evidence of the use of unaccounted cash for the acquisition of immovable property and unaccounted cash loans, etc. have also been found and seized.
A preliminary analysis of seized evidence reveals that several shells companies have been utilized by the group to provide accommodation entries to its flagship concerns. These shell entities have been found to have routed back the unaccounted money in the guise of share capital/unsecured loan into the business of the group. In addition, accommodation entries by an entry operator through a web of numerous shell companies aggregating to more than Rs.150 crore have also been detected.
The search action has, so far, led to the detection of a total unaccounted income of more than Rs. 250 crores.
Further investigations are in progress.
