Government of India

Ministry of Finance

Department of Revenue

Central Board of Direct Taxes

New Delhi, 18th October, 2019

PRESS RELEASE

Income Tax Department searches prominent business group in Hyderabad

Income Tax Department conducted Search & Survey action on a prominent business group having interest in infrastructure, irrigation, hydrocarbons and power sectors. More than 30 premises were covered in Hyderabad, NCR and Mumbai.

Evidence of large-scale bogus expenses, over-invoicing of purchase and sub- contract expenses have been found and seized. The group also indulged in out of books transactions and manipulation of books to suppress its taxable profits.

Evidence of illegal payments through hawala channels running into hundreds of crores have also been found and seized.

Unaccounted assets of ₹ 17.4 cr have been seized.

Further investigation is in progress.

(Surabhi Ahluwalia)

Commissioner of Income Tax

(Media & Technical Policy)

Official Spokesperson, CBDT.

Tax search and seizure uncovers alleged bogus expenses, over-invoicing and hawala payments; probe and asset seizures continue. A coordinated search and seizure operation targeted a business group across multiple cities; authorities seized documentary and electronic evidence reportedly showing large-scale bogus expenses, over-invoicing, out-of-books transactions, manipulation of books to suppress taxable profits, and illegal payments routed through hawala channels, with unaccounted assets seized and further investigation ongoing.