In an early morning operation by Income Tax officials in Karnataka, premises belonging to contractors of large irrigation works were searched for alleged non-disclosure of income. Over 30 premises of at least six contractors were searched by nearly 300 I-T sleuths on October 7, sources said.
An individual said to be close to a political family has also come under the scanner. Political observers said that the individual had come under the spotlight for interference in administrative matters in the Water Resources and Public Works departments.
According to sources, the searches also cover tax consultants connected with the firms and some individuals who supply construction material, including steel, for government projects, especially in the irrigation sector.
'No link to politics'
Former chief minister B.S. Yediyurappa refused to link the raids to politics. “I-T raids keep happening. There is nothing special about them,” he told journalists at Shikaripura on October 7.
Mr. Yediyurappa said Umesh, whose properties were searched by I-T officials, was working with him when he was the CM. “I don’t know the details. I will react about the developments after I get details," he said.
"The I-T people are doing their duty. They would take action against all those who committed wrongs. The searches would not have any impact on the by-polls in Sindgi and Hangal. BJP candidates will win. The people will teach a lesson to JD(S) and the Congress,” he said.