The Income tax department on Wednesday raided over 20 premises of real estate giant Indiabulls to probe tax evasion to the tune of Rs 1500 crore by the group.
Here is all you need to know about the raid:
Reason for the raid
According to reports, the searches are part of a probe into corporate borrowing worth Rs 1,700 crore that Indiabulls had carried out. The department is also looking into suspected benami transactions worth Rs 1,000 crore which were conducted by the company during the sale of its properties in the past.
Biggest raid in recent times
The raids by over 1,000 I-T officers were conducted to probe suspected tax evasion by the company. This was one of the biggest such raids by the I-T department in recent times. The officers raided premises of Indiabulls Housing Finance, Indiabulls Ventures and Indiabulls Real Estate under the supervision of the Directorate of Income Tax , Investigation Unit in New Delhi, Mumbai and Chennai.
Indiabulls group’s shares continued to fall for the second day after the Income Tax Department on Wednesday carried out search operations at different offices and premises of the group. At 10.47 am, shares of Indiabulls Housing Finance were trading 2.67 per cent down at Rs 695.30. The scrip opened the day at Rs 711 and touched a low of Rs 693, in trade so far.
Other Indiabulls group’s firm, Indiabulls Real Estate and Indiabulls Ventures were trading down by 1.04 per cent and 2.82 per cent, respectively, at the same time.
Indiabulls Housing Finance told BSE: “The Income Tax Department came to some of our offices to check our books in the normal course. We have extended all assistance and provided all desired information to the team of officials.”
During the last year, the Indiabulls Group has paid an aggregate of Rs 782 crore as income tax and Rs 372 crore as service tax to the department.
(Inputs from PTI)