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I-T searches in the metal processing group yield Rs 1cr in cash, discover Rs 400cr unreported income | India News

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CHENNAI: Searches of income taxes in the last four days in a group of metal processing and money loans have led to the seizure of Rs 1 crore cash and documentary evidence of Rs 400 crore unreported income. Searches in Chennai have discovered servers in the cloud used by the group to maintain clandestine accounts. Apart from that, the group also maintained a normal accounting system, income tax officials said.

“On Tuesday, the I-T department searched a leading business group based in Chennai, which dealt with the non-ferrous metal processing business in lead, copper and aluminum and money lending activities. It is said that the group reported a turnover of more than one billion rupees and is engaged in a series of businesses such as the manufacture of plastics and financial activities, “said CBDT spokesman Surabhi Ahluwalia.

The department also found a large amount of encrypted data that was recovered from a pen drive. “Our officials tracked and obtained the pen drive from the facilities of a third party. The highlight of the search is the discovery of hidden cloud servers other than the servers regularly used by the group for accounting, which contain details of transactions not accounted for, often referred to by the group as “kaccha” accounts, said the official. Searches were conducted mainly in northern Chennai.

The pen drive and the database were decrypted to collect information on the untapped capital accumulated by the group. Detectives also collected evidence showing the introduction of funds not accounted for as false stock premiums in one of the group’s companies.

“A large amount of property documents, promissory notes, post-date checks taken as collateral, etc. were recovered. in the money lending business during the search. They have been captured, ”she said.

The investigation is still ongoing and the department is in the process of consolidating seizures, he said.

This is the second group of metal processing of this type that has been under income tax scanner in the last year. In July last year, searches in a steel industry union in Chennai led to the detection of Rs 300 million of unregistered income.

Times of India

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