NEW DELHI: In a major crackdown on cash hoarders, the income tax department carried out searches in Bengaluru, Hyderabad and Khanna in Punjab and unearthed cash amounting to Rs 14.48 crore in Rs 500 and Rs 2,000 currency notes. Cash hoarding was seen as the trigger for currency shortage at ATMs in some states last week.
While banks have been instructed to ensure supply of cash in areas experiencing currency crunch, the income tax department has cracked down on currency hoarders.
“The total cash seized in these searches is Rs 14.48 crore in last two days," an income tax official said. The department carried out searches in Bengaluru on some prominent PWD contractors, who were awarded contracts between January and March. An income tax source said the department had received information regarding substantial bank transfers followed by large cash withdrawals, which promoted this search. It led to seizure of Rs 6.76 crore, mainly from benami lockers.
While banks have been instructed to ensure supply of cash in areas experiencing currency crunch, the income tax department has cracked down on currency hoarders.
“The total cash seized in these searches is Rs 14.48 crore in last two days," an income tax official said. The department carried out searches in Bengaluru on some prominent PWD contractors, who were awarded contracts between January and March. An income tax source said the department had received information regarding substantial bank transfers followed by large cash withdrawals, which promoted this search. It led to seizure of Rs 6.76 crore, mainly from benami lockers.