I-T Dept detects ₹150 cr unaccounted income after raids in Punjab
Premium- The search action in case of the group which is engaged in cycle business was initiated on 21 October
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The Income Tax Department has detected unaccounted income of about ₹150 crore after raids on a group engaged in Cycle business in Punjab, Ministry of Finance informed on Tuesday. The department raided two groups based in Punjab.
The search action in case of the group which is engaged in cycle business was initiated on 21 October. The group has been found to be involved in suppression of income by showing bogus intra-group transactions within group concerns, the ministry said in a statement.
It further said that the group was also found to have been involved in receiving a substantial part of sale consideration in cash and thereby suppressing the turnover.
The seized documents reveal suppression of turnover of around ₹90 crore per annum by a group concern. Incriminating documents related to the undisclosed sale of scrap have also been seized, the statement said, adding that the search also revealed undisclosed investments by the group members in immovable properties.
"The search action has led to detection of unaccounted income of about Rs. 150 crore. The search action has resulted in seizure of unaccounted cash of Rs. 2.25 crore and seizure of unaccounted gold of Rs. 2 crore in this group," it said.
The second group, based in Jalandhar, is engaged in providing immigration and study visa related services to students. The search action in this group was initiated on 18 October.
The search action has revealed that the group used to charge a package, ranging between Rs.10 lakh to Rs.15 lakh per student, depending on the country where the student wished to pursue education.
"Almost the entire receipts of the group, aggregating to more than ₹200 crore in the last 5 years are in cash. It has also been found that the bank accounts of the employees have been used to receive money, which has subsequently been withdrawn in cash," it said.
The statement said the profit earned from such receipts has never been disclosed in the income tax returns filed. "Only the commission received from foreign universities has been shown as receipts in the Income Tax Returns by the members of the group," it added.
The search action has led to detection of unaccounted income of about ₹40 crore. The search action has also resulted in seizure of unaccounted cash of Rs. 20 lakh and seizure of unaccounted jewellery of Rs. 33 lakh, it added.
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