I-T unearths unaccounted transactions worth Rs 250 cr in Neyveli-based group

The Income Tax department unearthed unaccounted cash transactions to the tune of Rs 250 crore after raids at a Neyveli-based group engaged in chit fund and real estate business.

The raids took place on December 16 in about 30 places related to the group located at Neyveli, Chennai, Coimbatore and Nilgiris among other places.

During searches, a remotely located cloud server containing a parallel set of books of account secretly maintained by key persons of the group were unearthed and various documentary and digital pieces of evidences were also seized, apart from unaccounted cash of more than Rs 12 crore.

The preliminary analysis of the evidences clearly revealed the details of unaccounted money generated through under-reporting of income from chit fund business and deposits received in cash from various parties, said a note from the department.

The seized evidence also indicates that the unaccounted money was utilised to make ‘on-money’ payments for investments in real estate business, added I-T sleuths.

Since the prima facie analysis indicates the quantum of unaccounted cash transactions in immovable properties to be to the tune of Rs 250 crore, the officers have sped up the investigation. The group also runs educational institutions through its trusts.