Income Tax Raids Uncover ₹250 Crore in Unaccounted Income in Kolkata

Income Tax Department Conducts Searches in West Bengal

On August 18, 2022, the Income Tax Department executed a search and seizure operation targeting two prominent real estate groups in Kolkata, West Bengal.

Findings During the Operation

The operation uncovered substantial incriminating evidence, which included:

• Documents and Digital Data: A wide array of materials indicating financial irregularities.
• Out-of-Books Transactions: Evidence of cash transactions not recorded in official accounts.
• On-Money Receipts: Documentation reflective of unreported income.
• Routing of Unaccounted Money: Various records point to the use of shell companies to facilitate the movement of unaccounted funds.
• Land Acquisition Concerns: Some items collected suggest the use of unaccounted funds for acquiring land.

Key individuals involved admitted to utilizing shell companies for the injection of unreported funds through means such as:

• Share capital contributions
• Share premium inflows
• Unsecured loans facilitated by fictitious investments

Financial Implications

As a result of these search efforts, the Income Tax Department has identified over Rs. 250 crore in unaccounted income. Additionally, investigators discovered 16 bank lockers, which have now been placed under restraint as part of ongoing proceedings.