I-T officials unearth Rs7 cr tax theft in Surat

The Income-Tax department has unearthed tax theft of more than Rs7 crore from four textile companies in an operation that lasted two days in Surat. In another operation, officials of DDI wing unearthed unaccounted money worth more than Rs30 crore from offices of a Vadodara-based company at Anand.

According to information, 60 I-T officials raided four companies in the textile business on Thursday evening, which continued till Friday afternoon. The companies which were targeted are Madrasi Group, Asha Exports, Davar Group and Rinkesh Textile Traders. Sources within department said that Madrasi Group disclosed Rs3.03 crore, Asha Exports disclosed Rs1.90 crore, while Davar Group and Rinkesh Traders disclosed Rs1.31 crore and Rs75 lakh each.

The disclosure made by Davar Group engaged in import of embroidery machines came as a shock to I-T officials. Davar Group has an annual  turnover of more than Rs500 crore.
 “Davar groups imports more than 250 machines every month and each machine costs between Rs8 lakh and Rs20 lakh. Rs1.31 crore is a meagre amount compared to the business the company does. We are investigating the financial activities of the company," an I-T inspector involved in the raid said, requesting anonymity.

In another operation, officials of DDI wing of Surat raided offices and other properties of Vadodara-based company at Anand on Friday. Sources said that officials have sealed lockers and premises for further investigation.