In a significant development, the Income Tax Department recently conducted search and seizure operations on a prominent business group operating primarily in the North Bengal region of the State of West Bengal, uncovering instances of tax evasion and unaccounted cash transactions. The group, which is predominantly controlled by an individual with an active political background, is involved in various business ventures, including the production and sale of edible oils, real estate, and chemicals. The operation covered a total of 23 premises spread across West Bengal and Guwahati, Assam.
The search action conducted by the Income Tax Department revealed startling findings regarding the business group’s attempts to suppress its yield and engage in unaccounted cash sales of edible oils and De-Oiled Rice Bran (DORB). Evidence of numerous cash transactions, deliberately omitted from regular books of account, was discovered during the operation. Handwritten notes, documents, and digital evidence containing extracts of these cash transactions were seized, along with parallel cash books and fraudulent expense claims. Preliminary investigations indicate unaccounted income of over Rs. 40 crores.
Unearthing Additional Financial Irregularities
During the search operation on a close business associate of the main business group, who is a prominent exporter of agro-products in Malda district, incriminating documents relating to cash payments in land acquisition worth approximately Rs. 17 crores were found. Furthermore, details regarding unaccounted cash receipts amounting to about Rs. 100 crores were also discovered.
As a result of the search action, the Income Tax Department successfully seized unaccounted cash totalling Rs. 1.73 crore. Additionally, unaccounted jewellery with an estimated value of Rs. 1 crore was also confiscated.
Ongoing Investigations: The search and seizure operations conducted by the Income Tax Department have shed light on a substantial tax evasion case with far-reaching implications. The revelations have triggered further investigations into the intricate financial web of the business group and its associates. The department is committed to thoroughly examining the evidence, verifying financial records, and identifying any other irregularities that may exist.
The recent search and seizure operations conducted by the Income Tax Department in North Bengal have uncovered a significant tax evasion case involving a business group with a strong presence in the region. The revelations of unaccounted cash sales, parallel cash books, and fraudulent expense claims point towards a deliberate attempt to evade taxes and manipulate financial records. The ongoing investigations will provide a clearer understanding of the extent of the tax evasion and the parties involved. Such actions by the Income Tax Department serve as a stern reminder to individuals and businesses alike that attempts to evade taxes will not go unnoticed, emphasizing the importance of complying with tax laws and maintaining transparent financial practices.
Disclaimer: The information provided in this article is based on the press release by the Income Tax Department.