IT Officials seized Rs.1.2 crore Unaccounted Cash from raid at Pharma Company

The Income Tax Officials conducted a surprise search operation on Friday at residences and offices of directors of a pharma company at 20 places in Chennai, Cuddalore and other parts of the state.

The corporate officials failed to submit audited accounts, which led to the second round of searches at Kanwarlal Group entities.

The search operations were done at offices and manufacturing facilities in Madhavaram, Cuddalore and Washermenpet, along with an auditor’s flat in RA Puram and director houses.

On the basis of the specific tax evasion accusation, Income Tax Officials conducted searches at 20 locations in October 2023, which resulted in the seizure of 70 crore worth of documents, Rs.1.2 crore in unaccounted cash and 3 kg of gold jewellery in October of the previous year.

The company had to submit its detailed banking records as well as the records of the documents, cash, and gold jewellery that were seized in October of the year, according to the Senior Income Tax Officials Instructions.

Gujarat-based Kanwarlal Group runs pharmaceutical manufacturing firms in TN. And the medicines for Taiwan, China, and Israel were manufactured by the Sister Group. Additionally, it manufactured goods from raw materials and supplied them to other pharma companies in India.