3rd FIR in I-T Crackdown: AP Police Book CA, Seven Firms in Rs 186 Crore Illegal Foreign Remittance Case:

Police in Andhra Pradesh have booked a chartered accountant (CA) and operators of seven firms for allegedly helping transfer Rs 186 crore abroad illegally using false Form 15CB certificates.

The case is the third such case to come up after recent Income Tax Department investigations into suspicious foreign remittances. Earlier, similar cases were registered in Hyderabad and Cyberabad following Income Tax searches in Telangana and Andhra Pradesh.

The latest FIR was registered on August 22 in Guntur based on a complaint by Subhash Koritepati, Assistant Director of Income Tax (Investigation), Vijayawada. Police have booked CA Chinna Venkata Subramanyam Dama and others under relevant sections of the Bharatiya Nyaya Sanhita for alleged cheating and issuing and using false certificates.

The seven firms named in the case are Visno Software Creations and Technology, Vijuwal Secure IT Creations and Technology, Unic IT Services and Technologies, Skavenger Shipping and Logistics Pvt Ltd, Pratyagra Shipping and Logistics, Trailokya Solutions and an entity linked to Sai Kumar Nemala.

According to the Income Tax Department, Form 15CB certificates issued by the CA helped these firms get bank approval for foreign remittances totalling Rs 186 crore.

The case follows an Income Tax Department search at Dama's office in Guntur on August 18. Investigators allegedly found that he had issued Form 15CB certificates for companies that were later found to be non-existent at their registered addresses.

Officials also found that the firms had not filed income tax returns despite sending large amounts of money abroad.

Form 15CB is a certificate issued by a CA for certain foreign payments. It confirms whether tax needs to be deducted and whether the remittance follows Income Tax rules and applicable tax treaties. Banks may require the certificate before processing overseas payments.

Investigators allege that Dama issued the certificates without checking important documents such as agreements, account books and transaction records. In his statement to investigators, the CA allegedly admitted that he had issued the certificates without verifying these documents.

The Income Tax Department has alleged that the CA and the operators of the firms worked together to avoid mandatory checks. Investigators are now examining whether the certificates were misused to illegally move foreign exchange out of the country.