Priti Singh: The search and seizure operation conducted by the Income-tax department for exposure of unaccounted income. The actions were taken in Hyderabad, Delhi, Pune, and Vishakhapatnam. After a search, more than 40 properties were covered. The search operation also carried on close associates including ex-personal secretary of a prominent person and incriminating evidence seized.
The investigation of the IT department has ruptured the major racket of cash generation through bogus sub-contractors, over-invoicing, and spurious billing. During the research, several incriminating documents and loose papers were sized. The search operation included three prominent infrastructure groups based in Andhra Pradesh and Telangana.
Further, it revealed that infrastructure companies had sub-contracted work several non-existents. More than Rs.2000 crore was taken possession that was layered through multiple entities with the last in the chain. Such entities were either not found at their registered address or were found to be shell entities. Several such sub-contractors were controlled by the principal contractors with all their ITR filings and other compliances being done from the IP addresses of the main corporate office.
In addition, more than 25 bank lockers have been reserved and unexplained cash of Rs. 85 lakh and Jewellery worth Rs. 71 lakh have been seized.