Moneycontrol PRO

I-T Department conducts searches in Maharashtra, Goa

The group is a prominent steel manufacturer and trader of Pune, Nashik, Ahmednagar and Goa, the ministry statement said.

August 28, 2021 / 04:03 PM IST
Image: Shutterstock

Image: Shutterstock

Income Tax Department carried out a search operation on August 25 on a group based in Maharashtra and Goa, Ministry of Finance said on August 28.

The group is a prominent steel manufacturer and trader of Pune, Nashik, Ahmednagar and Goa, the ministry statement said.

It further said that more than 44 premises were covered in the search operation.

During the course of the search and seizure operation, many incriminating documents, loose papers and digital evidences were seized.

Unaccounted cash of Rs 3 crore and jewellery amounting to Rs 5.20 crore have been seized from different premises. Also, unaccounted silver articles of 194 kg valued at about Rs. 1.34 crore have also been found during the search and have been accepted and declared as additional income by the assessee, the ministry said.


A total of Rs.175.5 crore of unaccounted income have been unearthed including unaccounted cash and jewellery, shortage and excess of stock and bogus purchases.

The ministry also stated that evidence detected during the search revealed that the group had been engaged in fraudulent practice of booking bogus purchases of scrap and sponge iron from various 'fake invoice issuers'.

Premises of fake invoice issuers were also covered during the search. Such invoice issuers have admitted that they supplied only bills but no materials and also generated fake e-way bills to show it as genuine purchases and to claim GST input credit, it said.

With the active support of GST Authorities, Pune, "Vehicle movement tracking app" was used to identify fake e-way bills. Total bogus purchases identified from these parties, so far, is about Rs 160 crore. The verification is still in progress and quantum of bogus purchases is likely to increase substantially, the ministry statement said.

Further, shortage of goods to the tune of Rs.3.5 crore and excess stocks of Rs. 4 crore was also found from the premises and the same has been admitted by the assessees. Unaccounted investment in property was also unearthed.

The search operation is still continuing and investigations are in progress.
Moneycontrol News
first published: Aug 28, 2021 04:03 pm
ISO 27001 - BSI Assurance Mark