The Income Tax Department on Monday carried out raids on a large network of entry operation racketeers who generated cash through fake billing. The search operations were conducted on 42 premises across Delhi- NCR, Haryana, Punjab, Uttarakhand and Goa.
According to the department reports, documents showing accommodation entries of more than Rs500 crore were found and seized.
Documents evidencing accommodation entries of more than Rs 500 cr were seized.During the search, cash of Rs. 2.37 cr & jewellery worth Rs. 2.89 cr has been found along with 17 bank lockers, which are yet to be operated. Further probe underway: Central Board of Direct Taxes https://t.co/wfcCplSPo6
— ANI (@ANI) October 27, 2020
“Several shell firms were used by the searched entry operators for layering of unaccounted money and cash withdrawals against fake bills issued and unsecured loans given. The personal staff members were made dummy directors/partners of these shell entities and all bank accounts were managed and controlled by these entry operators. Statements of such entry operators, their dummy partners/employees, the cash handlers as well as the covered beneficiaries have also been recorded clearly validating the entire money trail,” the department stated.
The individuals raided by the department were also found to be beneficial owners of several bank accounts and lockers, functional under the names of their family members, employees or shell entities. How these individuals were managing these accounts online in collusion with bank officials is being further investigated, the statement added.
Rs 2.37 crore and jewellery worth Rs 2.89 crore was seized and 17 bank lockers, which are yet to be operated, were found.