Income Tax Department conduct searches on premises of Auto Dealer and Builder

The Income Tax officers conducted searches at the offices of a famous automobiles dealer in Lucknow and a real estate firm owner in Barabanki at the same time. The searches were carried out at six different locations in the two districts.

The operation, which began on Thursday evening, lasted till Friday night. According to department sources, preparations are being made to recover Rs.70 crore from the owners of automotive dealers.

According to reports, IT inspectors have obtained damning documents relating to a 100-acre land purchase in Barabanki’s Dewa, which is under investigation. The site was acquired in the name of the proprietors of the automobile firm, while the real estate owner was required to establish his business here. The owners of the automobile dealership were unable to explain the anomalies in the transaction.

Sources stated, the proprietors of the automobiles dealership have engaged in fraudulent operations and have diverted cash through shell companies.

The owners will be summoned shortly by the IT department, and if they fail to explain such transactions, the financial agency would take action.

As per department sources, the real estate group and car dealership owners were on high alert as soon as the searches began. The employees and those associated with the officials destroyed their mobile phones and SIM cards. However, the IT department has retrieved data from these phones.

Documents are being scanned, according to sources, and additional action will be taken depending on the results.