The Income Tax Department has traced “undisclosed” income of more than Rs 224 crore after it recently raided Maharashtra-based unicorn startup Infra.Market, officials said on Sunday.
The search was launched on March 9 at the firm’s 23 premises in Maharashtra, Karnataka, Andhra Pradesh, Uttar Pradesh and Madhya Pradesh.
CBDT said the group, founded by Souvik Sengupta and Aaditya Sharda in 2016, “is engaged in the (business) of wholesale and retail of building materials and has a pan-Indian presence with annual turnover in excess of Rs 6,000 crore.” The Central Direct Tax Board (CBDT) is the policy -making body for IT departments.
Officers identified the entity sought as the Infra.Market group.
Emails sent by PTI to get company feedback are still not answered.
The building materials market in August last year said that it had raised USD 125 million (about Rs 928.1 crore) in funding from Tiger Global.
The company has been identified as a unicorn, a financial term for a business entity that has achieved a valuation in excess of USD 1 billion.
CBDT said “uncounted” cash worth Rs 1 crore and jewelery worth Rs 22 lakh had been seized so far.
The CBDT statement said it was found that the group had booked “fake” purchases, made large uncounted cash expenditures and acquired accommodation participation, aggregating to a value of over Rs 400 crore.
The group’s director, who is faced with this evidence, “admitted under this modus operandi oath, disclosed additional income of more than Rs 224 crore in various years of assessment, and subsequently offered to pay their due tax liabilities,” CBDT alleged.
It was found the group obtained substantial foreign financing through the Mauritius route by issuing shares at “too high” premiums.
The “complex” hawala network of several Mumbai and Thane -based shell companies has also been excavated, the CBDT said.
“This shell company exists on paper and was created only for the purpose of providing (fake) accommodation entries. Preliminary analysis has revealed that the total quantum of accommodation entries provided by this shell entity exceeds Rs 1,500 crore,” he said.
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