I-T raids uncover Rs 750 crore in black money
The Income Tax Department has detected undisclosed income of about Rs 750 crore following a raid on three major Bengaluru-based contractors engaged in the execution of
The searches that commenced on October 7 were carried out at 47 properties spread across four states.
During the search operation, it was found that these three contractor-led groups were involved in suppression of their income by resorting to bogus purchases, inflation of labour expenses, booking of bogus sub-contract expenses among other discrepancies. The investigation revealed that one of the contractor groups has booked bogus sub-contract expenses in the name of about 40 individuals of no means and unconnected to the construction business. Upon inquiry, these individuals have admitted to the charges.
One of the groups admitted to having indulged in inflation of labour expenses amounting to Rs 382 crore. Further, another group has been found to have taken accommodation entries, from non-existing paper companies, to the extent of Rs 105 crore.
Various incriminating evidences in the form of physical documents,
Out of the detected Rs 750 crore, an aggregate amount of Rs.487 crore has been admitted by the respective group entities as their undisclosed income.
Further investigations are in progress.