Two Maharashtra based Business groups raided; money found hidden worth 100 crores

Digital Desk: The income tax department discovered "unaccounted revenue" of more than 100 crores after raiding two Maharashtra-based business groupings, according to the CBDT on Friday.

According to officials, the searches began on August 25 against two unidentified groups involved in sand mining, sugar manufacturing, road building, health care, and the operation of a medical college.

The action impacted more than 20 premises in the Maharashtra districts of Solapur, Osmanabad, Nashik, and Kolhapur, according to the Central Board of Direct Taxes (CBDT).

The "modus operandi of tax evasion followed by the group, includes filing of phoney expenses, concealed cash sales, and unexplained loans/credit entries," according to a statement made by the administrative authority for the tax department.

Documentary evidence of "unaccounted" cash transactions of sugar surpassing 15 crores have been unearthed and seized in the case of the group engaged in sand mining and sugar manufacturing, it said.

According to the statement, the group has injected unaccounted income in the form of fake unsecured loans into its books of accounts.

"Several lenders and promoters to the firm have admitted that unaccounted cash earned by the group over 10 crores was routed in its books of account in this manner." "Evidence of capital gains of approximately Rs 43 crore on asset sale by a non-filer corporate entity has also been seized," the CBDT informed.

"Evidence of concealed cash receipts indicating capitation fee and reimbursement of salary and stipend paid to doctors/PG students have been identified" in the case of the organization engaged in the business of healthcare and management of the medical college, as well as road building. Instances of fraudulent expenses and contractual payments have been discovered, and preliminary estimates of the group's concealed profits are over 35 crores, it claimed.

"So far, the search operation has resulted in the discovery of undeclared revenue totaling more than 100 crores," the statement stated.

It further stated that concealed assets worth more than 5 crore had been seized.