CBDT detects well-organised racket of collection of unaccounted cash to tune of Rs 281 cr

New Delhi: On the second day of its continued searches across Madhya Pradesh, the Central Board of Direct Taxes (CBDT) on Monday detected a widespread and well-organised racket of collection of unaccounted cash, to the tune of Rs 281 crore, involving persons from different walks of life including business, politics and public service.

Apart from cash, the Income Tax officials have also recovered 252 bottles of liquor, some arms and tiger hides.

“A part of cash — Rs 20 crore — was also transferred recently to the headquarters of a major political party in Delhi through hawala channel from the residence of a senior functionary at Tughlak Road, New Delhi,” a CBDT spokesperson said in a statement.

The statement, however, did not identify the political party or its “senior functionary”.

Meticulous records of collection and disbursement of cash in the form of hand-written diaries, computer files and excel sheets seized corroborate the findings, the spokesperson added.

Acting on a tip-off of largescale collection, possession and movement of unaccounted assets, the Delhi Directorate of Income Tax (Investigation) initiated search and seizure actions on a group active in NCR, Bhopal, Indore and Goa. More than 300 IT officials participated in the operation taking place at about 52 locations in four states.

The searches in Delhi on the group of a close relative of the senior party functionary have further led to seizure of incriminating evidence including cash book recording unaccounted transactions of Rs 230 crore, siphoning off money through bogus billing of more than Rs 242 crore and evidence of presence of more than 80 companies in tax havens, the CBDT said.

“Several unaccounted or benami properties at posh locations in Delhi have also been detected. Instances of violations of model code of conduct are being brought to the notice of Election Commission,” said the spokesperson.

The department had on Sunday launched raids at 52 locations of people and associates linked to Madhya Pradesh Chief Minister Kamal Nath.

Those searched included Nath’s former Officer on Special Duty (OSD) Pravin Kakkar, former adviser Rajendra Miglani and Ashwani Sharma.

A report earlier in the day said that IT officials seized various materials, including cash and documents, from Sharma — manager of a non-government organisation. He has office and residence in Platinum Plaza — the building where the Chief Minister’s Officer on Special Duty Kakkar also resides.

Huge amounts of cash, gold and silver jewellery were recovered from Kakkar’s Indore house and Sharma’s Bhopal residence, said the sources. The IT sleuths also seized from Kakkar’s residence documents linked to transfer of government officials.

Kakkar and Sharma were also interrogated by the officials in the night, the sources added.

It is suspected that the seized cash was meant to be used during the upcoming Lok Sabha elections.

Published on: April 8, 2019 at 22:50 IST

By IANS

(The headline of the story has been changed by EP Web Desk)