IT, ED raids Karti Chidambaram’s firms for ‘tax evasion’ and ‘financial irregularities’
Chennai: In a joint operation, IT and ED officials Tuesday searched two groups based in Chennai and Tiruchirappali of associates of Karti, whose father and former Finance Minister P Chidambaram accused the government of launching a “malicious onslaught” on his family.
Asserting that there was “no collateral purpose” behind its action, a late night press release issued by the CBDT in Delhi said the searches were based on “credible information of tax evasion” and “financial irregularities”.
The CBDT said while certain “incriminating evidence indicative of tax evasion and financial irregularities have been recovered during the ongoing investigation, no political person or its family member are today shareholders or directors of the companies searched or surveyed by the Income Tax department.”
While the Central Board of Direct Taxes release did not identify the companies searched, sources said the searches conducted on five premises in the two cities included a private eye care chain.
They said while the I-T had undertaken the action on charges of suspected tax evasion by these firms, the ED was a part of the searches in connection with their investigation under the provisions of the Foreign Exchange Management Act (FEMA).
The searches and surveys on a group based in Chennai and Tiruchirappalli and another private limited company in Chennai have been conducted strictly as per provisions of the Income Tax Act, the CBDT said.
“These are consequential to the on-going investigations. There is no collateral purpose behind such actions and no political person or his family member are today shareholders or directors of the companies searched or surveyed by the Income Tax department.
“Disclosure of information respecting assesses is prohibited except as provided in section 138 of the Income-tax Act, 1961,” it said.
The investigation wing of the Income Tax department in Chennai has been conducting probe and as part of it, searches under section 132 (search) and surveys under section 133A (surveys) of the Income-tax Act, 1961 are being conducted at the residential and business premises of the key functionaries of the group.
Survey is also being conducted at the business premises of another private limited company in Chennai which has shareholding in a company of the aforesaid group.
“Certain incriminating evidence indicative of tax evasion and financial irregularities have been recovered during the on-going investigation. Further action as per law will follow,” it claimed.
PTI
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Source:zeenews
