Surat I-T Department Uncovers Rs 300 Crore Undisclosed Income

Surat : The Deemed Distribution Income (DDI) wing of the Surat I-T Department has been conducting extensive raids on prominent entities, including the well-known real estate company Surana Group and textile industrialist Rakesh Kansal, among other textile merchants in Surat. The ongoing search and seizure operations, spanning 22 locations over the course of four consecutive days, have resulted in the discovery of a staggering undisclosed amount totaling Rs 300 crore.

Throughout the intensive search operation, DDI officials seized Rs 8 crore in cash and sealed approximately 20 bank lockers. The probe, still in progress, has targeted a total of 22 commercial and residential premises associated with the Surana builder group and the Rakesh Kansal yarn merchant group since the early hours of December 8.

The Income Tax department’s investigation has so far unearthed bulk accounting documents, electronic data from various devices, and over 20 bank lockers during the extensive four-day search. The ongoing operation, spanning multiple locations, aims to thoroughly scrutinize the financial transactions of these business entities.

Authorities anticipate concluding the search at the remaining 10 locations linked to both business groups in the coming days. The department has revealed substantial evidence of benami transactions amounting to Rs 300 crores, notably conducted in cash. Such transactions are subject to penalties and interest under tax regulations.

The investigation delves into Rakesh Kansal’s investments in the yarn trade, particularly within the real estate sector. Scrutiny encompasses last year’s payment conditions, party transactions, and accounting procedures related to land acquisitions within the Surat Builder group’s construction projects, including financial dealings with flat holders. Sources suggest potential large-scale tax evasion, implicating significant players within the builder community.