Indiabulls group stocks fall 5-10%; I-T officials raid co office

Shares of Indiabulls group stocks are under severe selling pressure after income tax raided its offices. According to CNBC-Awaaz sources, around 1000 I-T officials are involved in search of Indiabulls offices and residence of promoter Sameer Gehlaut.

Indiabulls Housing Finance, Indiabulls Real Estate, Indiabulls Ventures and Indiabulls Wholesale Services fell 5-10 percent intraday on Wednesday.

It is learnt that Indiabulls had borrowed Rs 1700 crore from a company and later went on to acquire it. The group's name is also under scanner due to few benami transaction in selling flats. I-T sleuths are also  probing the company's recent restructing.

However, Indiabulls Housing Finance said in a statement to the exchanges, We would like to state that this morning, officials of the Income Tax Department came to some of our offices to check our books, in the normal course. We are extending all assistance to the team of officials. We are confident that the officials will find our corporate practices and books satisfactory. At Indiabulls group, we follow the ethical and legal standards of the highest order in all our businesses and have robust institutional measures to monitor as well as implement corporate governance of the highest standards. We are confident that these on the spot check, in the normal course, will vindicate the same. We further state that there is no information which has not been announced to the Exchanges under Regulation 30 of SEBI (LODR) Regulations, 2015.In another statement to the exchanges, the company said, This is to inform you that the Income Tax Department came to some of our offices to check our books in the normal course. We have extended all assistance and provided all desired information to the team of officials.

During the last year, the Indiabulls Group has paid an aggregate of Rs 782 crore as income tax and Rs 372 crore as service tax to the department.  At Indiabulls Group, we follow the ethical and legal standards of the highest order in all our businesses and have robust institutional measures to monitor as well as implement corporate governance of the highest standards. We are confident that these on-the-spot checks, in the normal course will vindicate the same.