The Income-Tax (I-T) Department searches against a Bijnor-based group in the real estate business and its associates in Uttar Pradesh have led to the detection of over 20 companies that were running from a single premises. A London property linked to one of the suspects has also been identified.
During the searches, which started on Wednesday, the agency has so far found “unexplained cash” of over ₹50 lakh and jewellery weighing about 2.5 kg.
There were allegations that the group companies were having huge security premium reserves and massive liabilities in the form of loans and advances from related parties and others, and even then they had advanced substantial loans to others. The sales of the group were not commensurate with the loans and advances shown, said the agency in a release on Thursday.
The companies identified during the probe did not have any worth, but they were showing significant amounts of share premium. “The dummy companies are being used as conduit for layering of funds,” said the Department.
According to the agency, one of the group members had financial interest in a United Kingdom-based foreign company and one property in London, and the sources of investment therein are being examined.
