New Delhi [India], November 20 (ANI): The Income Tax Department started a search and survey action in the case of a leading cattle feed producer in Northern India. The search and survey actions are being carried out at 16 locations in Kanpur, Gorakhpur, Noida, Delhi and Ludhiana.
As per the official release, the main allegations against the group is that it has taken accommodation entries of more than Rs 100 crore in the form of non-genuine unsecured loans from certain Delhi-based shell companies.
The company also has unusually high sundry creditors, and there are allegations of suppression of net profit against it, and also that a related group chit fund company had received unsecured loans of several crores from unknown sources.
Income Tax Department said that during the course of the search operation, it was established that the shell companies from which loans had been taken exist only on paper and have no real business and creditworthiness.
"Directors of these shell companies are dummy, non-filers, and individuals of no means. One of the Directors of these companies has been found to be a taxi driver, having 11 bank accounts, showing huge routing of funds. Therefore, it has been established that the accommodation entries of more than Rs 121 crore in the form of unsecured loans from these shell companies are bogus and actually represent the unaccounted income of the group," it stated.
"It has been further gathered during the search that one of these shell companies is a chit subscriber in the group's chit fund concern, which is a violation of the provisions of the Chit Funds Act, 1982," the department continued.
It further said that the search has revealed that huge unaccounted investment was done in the construction of the residences of the main persons of the group.
"The same is under verification and will be referred for valuation," it added.
Till now, the Income Tax department has seized gold and diamond jewellery to the tune of Rs 52 lakh.
"The sources of acquisition of the remaining jewellery are being verified. The source of total cash found amounting to Rs 1.30 crore is being further verified. A total of 7 lockers have been found, which are yet to be operated," the department added further.
The search operation by the Income Tax department was started on November 18, and further investigations are going on. (ANI)