DMDK Chief, wife fail to submit tax returns for 5 years:IT

Chennai, Jan 24 (UNI) The Income-tax Department today said actor politician and founder of the Desiya Murpokku Dravida Kazhagam (DMDK) Vijayakant, MLA and his wife had failed to file wealth tax returns for the last five years, despite owning wealth to the tune of Rs 2.50 crore and 2.35 crore respectively.

In a press release here, P Selvaganesh Additional Director of Income-Tax (Investigation) Madurai said this came to light after the I T sleuths had conducted search operations in four group cases, including premises of the actor and his relatives and two other educationists, yesterday.

In all, 14 premises at Chennai, Coimbatore, Puducherry, Cuddalore and Madurai were raided yesterday. Also survey was conducted in 17 premises. For both the operations, the department deployed about 400 personnel, including 55 officers.

Mr Selvaganesh said as per the evidence, an educational trust headed by a relative of the actor had admittedly made investments of Rs 45 crore so far in the construction of a medical college at Puducherry. The sources for a minimum Rs nine crore remain unexplained, he added.

He said also the details of the bank loans claimed to have been taken for the balance, and the nature and sources of securities offered for such loans were not explained. Further, the sources for the advancement of loans of Rs 1.72 crore to private parties by the trust needs an explanation, he added.

He said cash and jewellery worth Rs 12 lakh were seized from the premises of the actor and his sister. The search had also resulted in the seizure of unaccounted jewellery worth Rs 54.22 lakh from the premises of one educationist and his relative at Chennai, he added.

In the case of another educational trust at Chennai, it was being observed that from April one, 2006, to till date, the Managing Trustee had withdrawn Rs 11 crore from the bank account of the trust through self-cheques, he said. The withdrawls were as high as Rs one crore on the same day, he added.

He said since he has not been able to explain the purpose of such cash withdrawals, the trust will be ineligible for exemption under the IT Act.

He also pointed out that in yet another educational trust, after the detection of documentary evidence, the Managing Trustee was admitted to have received an unaccounted capitation fee of Rs eight crore.

In all, three bank-lockers have been sealed and restraint orders freezing the bank accounts have been issued in five cases, he said.

The searches were continuing in four other premises, he added.

UNI