A raid by the IT department of a finance company in Tamil Nadu reveals Rs 12 cr of unaccounted money

The Income Tax Department, during searches conducted over a week-long period at the premises of a Tamil Nadu-based Chit and Finance company, revealed unaccounted cash of Rs 12 crore and details of real estate properties worth Rs 250 crore.

The Central Board of Direct Taxes (CBDT) said in a statement on Tuesday that the company which has real estate interests and also manages several educational institutions through its trusts was using a secretly maintained cloud server to maintain a parallel account.

The CBDT said this cloud server was controlled remotely and the IT department was able to decipher it to access details of unaccounted money and real estate.

Searches and seizures were carried out at 30 locations in Chennai, Coimbatore, Neyveli and the Nilgiris.

The IT department said the unaccounted money was generated by under-reporting income through voucher fund activity and most amounts parked in real estate properties.

The statement also said that the unaccounted deposits taken from various people and the details of who invested the money will be known after the numerical valuation.

The department also conducted a preliminary analysis of documentary and digital evidence. Most of the unaccounted money was used to make payments to buy real estate and the money was parked in the trusts of the company that ran educational institutions, the statement added.



(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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