The shares of automobile major Hero Motocorp slipped by over seven percent on March 29, as the market reacted adversely to the reports which claimed that the Income Tax Department detected bogus expenses to the tune of Rs 1,000 crore made by the company.
Sources told CNBC TV18 that the claims related to the false expenses were detected in the I-T raid conducted from March 23 to March 26 at premises linked to Hero Motocorp.
While an official statement was awaited, news agency ANI learnt from sources that "incriminating evidence" was found in the form of hard copies and digital data.
Reacting to the reports, Hero Motocorp said the speculations are baseless. "We categorically deny the speculative press reports," it said, adding that the bogus expense allegations are "not borne out of any document served on us or our internal documents".