The Income Tax Department has detected black money to the tune of Rs 200 crore in a search and seizure operation on two groups, engaged in the business of quarry operations in Kerala, according to information provided by the finance ministry on Monday.
More than 35 premises spread across districts of Kottayam, Eranakulam, Thrissur, Palakkad and Kannur have been covered in the search operation carried out on Jan 5 which also resulted in the seizure of more than Rs 2.30 crore in unaccounted cash, the official statement said.
During the course of the search operation, various incriminating documents and digital evidence have been found and seized, including a parallel set of books of account recording the entries of actual sales and receipt of cash.
This evidence has clearly revealed the modus operandi being followed by the quarry operators as they are indulging in large scale suppression of sales made in cash including the fact that these transactions are not recorded in the regular books of account of the group, according to the official statement.
The correlation of the evidence also indicates that unaccounted cash so generated is systematically invested in acquisition of immovable properties, used for the business of cash loans, and unrecorded capital investments in other businesses.
The search team has also gathered evidence of on-money payment for purchase of properties and substantial cash deposits in undisclosed bank accounts. The owners of the groups have been found to have sold immovable properties without duly accounting for the capital gains arising from such transactions.
Further investigations are still in progress.
