In a shocking revelation, a series of flash raids on Infra giants in Andhra and Telangana unearthed Rs 2,000 crores of unaccountable transactions. According to the Central Board of Direct Taxes (CBDT), Income Tax department carried on raids on the properties of three leading infra companies in Vijayawada, Visakhapatnam, Pune, Hyderabad on Thursday. The raids carried out on around 40 places, reportedly, identified more than two thousand crores of transactions which were not shown in the maintenance of books of accounts and tax audits.
It was also said that the I-T sleuths recovered several documents related to suspicious transactions held by contractors and political leaders through sub-contractors. This came close on the heels of I-T department has carrying raids on Pragathi Groups owner and close aid of KCR, Boyinapalli Srinivasa Rao and companies belonging to the Kadapa district TDP leader Srinivasa Reddy on February 6th. Sources revealed that I-T sleuths have also zeroed in on other leading infra company, which rounded-off with the biggest unaccountable scam in recent times.
Stating the same, CBDT officials said – “Investigations led to busting of a major racket of cash generation through bogus subcontractors, over-invoicing and bogus subcontractors, over-invoicing and bogus billing.” It was revealed that WhatsApp conversations and e-mails played a crucial role in unearthing the racket while the companies resorted to producing fake invoices and documents to avoid tax audits. Further details are awaited.