Income tax

Income Tax Department conducts research at J&K and Delhi


Income Tax Department conducts research at J&K and Delhi

The search action led to the seizure of unaccounted cash of over Rs. 46 million.

posted on June 17, 2022 | Author RK Online Office



The Income Tax Department carried out search and seizure operations on a major manufacturer and seller of Jamawar, Pashmina and Kashmiri shawls.

According to a statement posted here, the search operation covered more than 15 premises spread across Srinagar, Anantnag and Delhi.

The statement reads: During the search operation, a large amount of incriminating evidence, including paper documents and digital evidence, was found and seized. A preliminary analysis of the documents seized indicates that a significant portion of the sales were made in cash, which were not found recorded in the regular account books. The action research also revealed that the Group engaged in large-scale tax evasion through the undervaluation and underreporting of inventory.

“An unaccounted stock of over Rs. 4 crore has been detected in Delhi alone,” it read.

The group also displays exports from India to its various companies located in Saudi Arabia and the United Arab Emirates. However, it turns out that the business in the UAE is carried out on behalf of third parties, with an informal profit sharing agreement.

It turns out that the group has made huge unrecorded investments in a large number of real estate properties not only in India but also abroad. Investigations have further revealed the group’s investment in a luxury hotel which is not fully disclosed in regular account books.

The search action led to the seizure of unaccounted cash of over Rs. 46 lakh. Further investigations are ongoing.