Income Tax Department conducted search action on 24th July, 2019, on a Hyderabad based group engaged in the business of conducting seismic data analysis. The assesse group indulged in large scale over-invoicing of imports through a Dubai based operator who is an accused in a VVIP Chopper scam. The surplus funds thus generated amounting to USD 6 million were parked in Dubai based accounts of the said operator.

During the search, incriminating evidences including e-mail and mobile conversations were found between the main director of the searched company and the Dubai based operator, pertaining to over-invoicing of imports. When confronted, the persons concerned admitted to over-invoicing.

Further, the search action led to detection of at least 4 additional undisclosed foreign bank accounts in UBS bank Switzerland, OCBC Bank Singapore, Citizens Bank, USA and Bank of Nevis International, St Kitts. Moreover, 3 undisclosed companies of the Hyderabad based promoter in tax havens viz. British Virgin Islands, Island of Nevis and Singapore were also detected.

Unexplained cash of ₹ 45 lakh found during the search has been seized. Jewellery worth ₹ 3.1 crore was also found, which is in the process of being verified.

Over-invoicing uncovering led to detection of undisclosed foreign accounts and seizure of assets in a tax probe. Search of a Hyderabad seismic-data group uncovered documentary and electronic evidence of over-invoicing of imports through a Dubai-based operator, admissions by concerned persons, surplus funds parked in Dubai accounts, detection of multiple undisclosed foreign bank accounts and tax-haven companies, and seizure of unexplained cash and jewellery pending verification.